Determination of Policy Preferences related to Inventory and Assets Valuation and Depreciation Methods: A Research on Istanbul Stock Exchange
Dr. Sedat Coşkun, Associate Professor Dr. Mahmut Yardımcıoğlu
Abstract
Companies make some choices in the creation, namely in the recording and reporting processes of the accounting
data. These choices are defined as the accounting policies. These policies require the implementation of policy
choices made by companies in order to ensure comparability of the financial statements as per the basic concepts
of accounting. Companies may develop accounting policies to present reliable information about their financial
positions and according to their own changing conditions. Policy changes according to standards are all
important in terms of comparability of the financial statements and showing the real positions of companies.
Therefore companies present their policy changes and the information about their operating results through
financial statements and footnotes to financial information users. This is important in terms of presenting the
effects of preferred accounting policies on financial statements to information users. The preferences of Valuation
Methods of Inventory, Tangible Assets Valuation and Depreciation Methods, Intangible Assets Valuation and
Depreciation Methods, which are critical for companies and included by SEC (Securities and Exchange
Commission) among the policies that have to be disclosed, were analyzed in this study
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