Related entities disclosure in financial statements: A current status study

Author:

KULIKOVA Lidiya I.1ORCID,MUKHAMETZYANOV Rinaz Z.1ORCID

Affiliation:

1. Kazan (Volga Region) Federal University (KFU)

Abstract

Subject. This article discusses the issues of disclosure of information about related parties in accounting (financial) statements and meeting the needs of users. Objectives. The article aims to study the compliance of economic entities with the requirements of certain provisions on the disclosure of information about related parties in accounting (financial) statements and assess the companies' information transparency level. Methods. For the study, we used observation, comparison, generalization, and interpretation. Results. The article analyzes the accounting (financial) statements of fifteen Russian organizations in the chemical, oil and gas, metallurgical and energy industries for 2022, compiled in accordance with RAS and posted on official websites in the public domain. The article identifies and describes various factors influencing the disclosure of information in accounting (financial) statements. It suggests ways to improve the disclosure of information on related parties. Conclusions. The information disclosed in the accounting (financial) statements does not fully meet the needs of users. The article concludes that it is necessary to search for new formats of information disclosure, where professional judgment will be applied to the greatest extent.

Publisher

Publishing House Finance and Credit

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