Bìznes Inform (Apr 2018)
The Transformation of the «Reliability of Information» Criterion in the System of Accountance
Abstract
The article is aimed at defining the concept and criteria of reliability in the system of accountance. The falsification of reporting in today’s environment poses a serious threat to the stability of the current world system. That is why it is important to define approaches to assessing the quality of financial statements. Reliability is one of the most ambiguous categories of quality. Until now there is no clear understanding of reliability, there are no criteria for its definition and relationship with the quality of financial statements. It usually means either an objective display of the actual processes, or absence of errors. In accountance, however, this term has been transformed, which is evident particularly in view of the fact that its interpretation differs in various countries. If some consider reliable the information in the reporting, which is displayed on the basis of reliable documents, for others it can be not enough, so they can demand for a correct estimation of property and obligations, an inventory, absence of errors (both intentional and not intentional). The legislation of Ukraine in the sphere of accountance, which determines reliability as absence of errors and twists, is imperfect in this concern. At the same time, the category of «twist» is not considered anywhere.
