Micro accounting entities in the Slovak Republic: A year after an introduction

Abstract

This paper is focused on hypothesis that small businesses identified as a micro accounting entities by the national accounting regulation in The Slovak Republic choose to present its annual financial statements in simplified form rather than in the full format reporting available for all accounting entities. Since 1 January 2014 business accounting entities keeping accounts in the double-entry bookkeeping system meeting certain size criteria qualified as micro accounting entities can choose to use simplified accounting procedures and to present more simple set of forms for annual financial statements. This hypothesis will be tested on data obtained from the Registry of financial statements provided by The Ministry of Finance of The Slovak Republic. Results will provide answers as to whether an introduction of simplified accounting procedures and more simple forms for annual financial statements was accepted by businesses or not.

Keywords

• financial statements
• financial reporting
• analysis of financial statement
• micro accounting entity