International Financial Reporting Standards for small and medium-sized entities: A survey showing insights of South African accounting practitioners

Journal of Economic and Financial Sciences


 
 
Field Value
 
Title International Financial Reporting Standards for small and medium-sized entities: A survey showing insights of South African accounting practitioners
 
Creator Mohamed, Waheeda Yasseen, Yaeesh Nkhi, Naledi
 
Subject Financial reporting; IFRS; SMEs; South Africa
Description Orientation: The International Financial Reporting Standards (IFRS) for small and medium-sized entities (SMEs) was adopted in South Africa in 2009 to reduce the complex burden of financial reporting for SMEs.Research purpose: The purpose of the article is to explore the insights of accounting practitioners a decade after introducing the IFRS for SMEs.Motivation for the study: The article increases the body of research into decision usefulness in relation to IFRS for SMEs, drawing attention to the possible benefits and challenges of the practical use of the IFRS for SMEs as an acceptable reporting framework.Research approach, design and method: The article uses prior literature on the application of IFRS for SMEs in South Africa to construct a structured questionnaire which was completed by 103 qualified accounting practitioners operating in South Africa.Main findings: Overall, the insights of accounting practitioners demonstrated reduced scepticism, as compared to previous research, concerning the extent to which the IFRS relieve the burden of financial reporting in the SME sector.Practical/managerial implications: The design of an accounting framework affects its use by accounting practitioners. Decisions usefulness theory demonstrates that standard setters should familiarise themselves with the challenges faced by accounting user groups to improve the relevance and reliability of financial statements.Contribution/value-add: This article will be useful to policymakers in debates regarding the appropriateness of IFRS for SMEs as a reporting framework and whether amendments are required. More specifically, whether amendments are required in relation to reducing the burden of financial reporting even further for smaller-scale SMEs.
 
Publisher AOSIS
 
Contributor
Date 2020-07-08
 
Type info:eu-repo/semantics/article info:eu-repo/semantics/publishedVersion —
Format text/html application/epub+zip text/xml application/pdf
Identifier 10.4102/jef.v13i1.489
 
Source Journal of Economic and Financial Sciences; Vol 13, No 1 (2020); 9 pages 2312-2803 1995-7076
 
Language eng
 
Relation https://jefjournal.org.za/index.php/jef/article/view/489/983 https://jefjournal.org.za/index.php/jef/article/view/489/982 https://jefjournal.org.za/index.php/jef/article/view/489/984 https://jefjournal.org.za/index.php/jef/article/view/489/981
 
Rights Copyright (c) 2020 Waheeda Mohamed, Yaeesh Yasseen, Naledi Nkhi https://creativecommons.org/licenses/by/4.0