Project Manager
Marton, JanProject manager
University of Gothenburg School of Business, Economics and LawAmount granted
1 947 000 SEKYear
2014
Capital markets put a price on investment-ready capital and have the function of allocating capital to the activities where it is most useful, thus contributing to growth and job creation. This contributes to growth and the creation of new jobs in the economy. For capital markets to function, it is essential that investors and lenders have access to high-quality information. The most important and systematic source of information is external accounting, such as annual reports.
Uncertainty in reported figures can reduce the usefulness of financial statements for investors, which can lead to a poorer functioning of capital markets. There are several reasons why accounting uncertainty has become more important in recent years, including the internationalization of capital markets, the introduction of international accounting standards, financial crises and an increased emphasis on previously unregulated areas such as environmental accounting.
This study focuses on the causes of accounting uncertainty and on measures that can be taken to reduce uncertainty. In terms of causes, it studies which items in the income statement and balance sheet show high uncertainty. Regarding measures, the study focuses on additional disclosures and the role of trust in companies and their management in reducing uncertainty. The results can provide guidance to accounting standard setters, reporting companies and users of accounting in the capital market.