PRINCIPLES OF VALUATION IN THE NATIONAL ACCOUNTING SYSTEM

Abstract

Results of research of accounting principles in the national and continental accounting systems are presented. Valuation of objects of accounting goes far beyond the system of accounting. Despite the status and legislative regulation of valuation procedures, most of the factors influencing the choice and change of valuation methods are the same for external and internal subjects of valuation. Therefore, it is important today to solve the issue in relation to the systematization and allocation of conceptual principles of valuation in the national accounting system in order to improve the theoretical and methodological provision of forming the value of objects of accounting. In scientific literature and national legislation, there are no today clearly defined and scientifically grounded principles of valuation precisely for accounting objects. There are separate principles of accounting and financial reporting, principles of the audit, and principles of independent valuation. Classification features and conceptual interpretation of conceptual principles of valuation of objects of accounting are proposed, namely principles-assumptions (continuity, objectivity, historical cost, accrual and compliance, changes in value, utility) that provide the conditions for the valuation; principles-requirements (single metric, full coverage, sequence, alternatives to estimates) that require execution of the accepted rules of organization and performance of the assessment in the accounting and provide for their mandatory execution; principles-restrictions (rationality, essentiality, prudence, effective use) that create an indirect limitation of assessment through additional attributes related to organizing and conducting assessment. Prospects of further research on theoretical and methodological principles of valuation are formed. The main goal of the proposed principles is to develop theoretical and methodological principles of valuation of objects of accounting, which will contribute to the improvement of national accounting standards, order of choice and application of methods for evaluating objects, ensure high-quality characteristics of information in the process of valuation of assets, obligations, equity – usefulness, transparency, reliability, and comparability.