Applicability of profit categories for evaluating the economic performance of enterprises

Alvincz, József – Kiss, Árpád

Keywords: financial statements, economic analysis of enterprises, accounting, profit categories, accounting information

Our study of the financial statements of eight agricultural enterprises for the past six years and the applicable legal regulations has shown that there is a difference between accounting profit and financial profit both in terms of theory and practice. The information required for the calculations are disclosed in both the annual financial statements and the simplified annual financial statements. Agro-economists do not need any basic accounting skills to collect and sort the data. It is enough to be able to understand such annual financial statements, which can be reasonably expected from any manager or researcher working in any economic field.

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