Year 2013, Issue 4
Date published10.12.2013
Table of content
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Plamen Pytev, Elena Marinova
The Link Between Credit Default Swaps and Stock Markets in Central and Eastern EuropeSummary: Our study aims at testing whether there is long-run relationship between the CDS and stock markets in seven countries of Eastern Europe. First, we define specifics of the seven CEE stock markets and CDS spreads. We have found that... Our study aims at testing whether there is long-run relationship between the CDS and stock markets in seven countries of Eastern Europe. First, we define specifics of the seven CEE stock markets and CDS spreads. We have found that they show different performance characteristics – stock markets present very different performance while the volatility has been very close. Next, we try to estimate the presence of co-integration among the stock markets on the one side and CDS spread on the other. The results show that both stock market indices and CDS spread are not stationary at levels but are stationary at first difference and they are first-order integrated I(1) for all countries. Next, we apply Granger causality test for short-run relationship and our results show for Russia and Poland that the index return is Granger causing the change in CDS spread, the variance in the CDS explained by the index is 40% and 31% respectively. In the case of Hungary, Bulgaria and Romania, where the change in the CDS spread is Granger Causing change in stock market index, the variance in the index explained by the CDS spread is 36%, 11% and 27% respectively.DOI: -
Violeta Blazheva
Evolution of EU Common Agricultural PolicyJEL: Q18Summary: The year 2012 marked fifty years of the EU Common Agricultural Policy – the basis for European integration providing food security and dynamic agriculture for European citizens for five decades. This paper focuses on its evolution... The year 2012 marked fifty years of the EU Common Agricultural Policy – the basis for European integration providing food security and dynamic agriculture for European citizens for five decades. This paper focuses on its evolution and achievements of the reforms carried out. These reforms were designed to provide quality food to citizens at reasonable prices and a decent standard of living for farmers and their objectives are still valid today. Over the years, European agricultural policy has helped to overcome three key stages: leading Europe from scarcity to abundance of food, meeting the new challenges associated with the sustainable use of natural resources, and expanding the role of farmers in rural development. The reform of the EU Common Agricultural Policy aims to strengthen the competitiveness and sustainability of European agriculture and rural development.DOI: -
Daniela Feschiyan
Standardized Model for Subsequent Measurement of Fixed Assets in the Public Sector EnterprisesJEL: Ì41Keywords: Public Sector Accounting, Fixeds Assets, International Public Sector Accounting Standards, Accounting Model, Depreciation Assessment , Periodic Assessment, ReassessmentSummary: This article addresses some shortcomings in the existing pricing model after recognition /post evaluation/ of fixed assets in the public sector enterprises. Prerequisite for the studied problem is the lack of standardization of the... This article addresses some shortcomings in the existing pricing model after recognition /post evaluation/ of fixed assets in the public sector enterprises. Prerequisite for the studied problem is the lack of standardization of the accounting system in the public sector enterprises. The author offers a standardized accounting model and argues that the problem can only be resolved with the adoption of accounting standards that would replace the current practice of regulation of accounting in the public sector enterprises with instructions and letters. The proposed accounting standard model for periodic assessment of fixed assets are designed ways and means to improve the accounting system of the public sector entities through its adaptation to the conceptual framework of international accounting standards for the public sector. This will increase the reliability and credibility of accounting information and the overall improvement of the accounting methodology.DOI: -
Silviya Kostova
Audit Procedures in Accounting Estimates and Tax Effects in Financial StatementsJEL: M42Keywords: audit procedures, point estimate, accounting estimates, professional judgment, tax effectsSummary: Executives in enterprises make judgments in a number of cases when giving accounting estimates. In order not to mislead information users, those judgments must be reasonable and consistent with circumstances. As a result of the... Executives in enterprises make judgments in a number of cases when giving accounting estimates. In order not to mislead information users, those judgments must be reasonable and consistent with circumstances. As a result of the uncertainties inherent to operating activities, a lot of entries in financial statements cannot be assessed precisely but can only be given a rough estimate. The latter is based on the reliable information available. Conducted audit procedures are therefore essential in order to express an opinion as to the reliability of executives’ judgments. This paper aims to define the major dependencies between accounting estimates and requirements related to auditors’ professional judgment. The focus of research is on reducing information asymmetries in reporting accounting estimates and their tax treatment.DOI: -
Pepa Stoykova
Fakes as Objects of Tax ControlSummary: Counterfeits are those results from an act or omission that is false, fraudulent or forged like the existing product. They contain foreign traits (characteristics) that create the illusion of a quality product at a higher cost or... Counterfeits are those results from an act or omission that is false, fraudulent or forged like the existing product. They contain foreign traits (characteristics) that create the illusion of a quality product at a higher cost or price, respectively. Counterfeits are of interest for tax control due to the fact that they generate profit. Tax control shall be established reality of profit, which serves as the basis for the calculation of tax liabilities, and the opportunities for manipulation of revenue and expenditure variables. Due to the wide variety of fakes, in this article false documents created in relation to counterfeit goods will be highlighted. Types of document crimes have been structured and their number compared (including sanctioned offenders) with the counterfeit goods and accompanying forged documents.DOI: -
Galya Georgieva
Methods of Amortization ind its Influence on Financial ResultJEL: Ì41Summary: The article deals with the methods of amortization of non-current tangible assets, regulated by the applicable accounting standards. Data are used to illustrate the operation with them. The annual amortization allowances are... The article deals with the methods of amortization of non-current tangible assets, regulated by the applicable accounting standards. Data are used to illustrate the operation with them. The annual amortization allowances are calculated by any of the methods of amortization within the useful life of the asset, using the same data. Amortization allowances are accounted as amortization costs relating as directed, according to the adopted accounting policies by enterprises. They are included in the formation of the cost of the products of labour and accounting financial result. To demonstrate their effect on the financial result, a comparison between them has been made. Tables and graphs are included in the article.DOI: