Risks of misstatements of the company's financial condition in the context of Federal Accounting Standard (FSBU) 25/2018 – Accounting for Leases

Abstract

Subject. This article deals with the issues of ensuring the objectivity of the interpretation of accounting (financial) statements when evaluating them using financial ratios and other analytical indicators in connection with the adoption of Federal Accounting Standard (FSBU) – Accounting for Leases, which leads to a change in the concept of accounting and the operation of the principle of property segregation. Objectives. The article aims to study the impact of the new rules for accounting for lease relations on the results of the analysis of financial statements. Methods. For the study, we used the general scientific cognition methods, economic analysis, and the logical approach. Results. The article presents the results of the assessment of the impact of the new rules of accounting for lease transactions on financial ratios usually used in the analysis of accounting (financial) statements. Conclusions. Modern standardization of accounting leads to the reformatting of accounting (financial) statements. Particularly, critical changes were introduced by Federal Accounting Standard (FSBU) – Accounting for Leases. More research is needed on the development of new criteria for assessing financial ratios and the use of not only industry criteria, but also the materiality of the share of leased funds recognized as assets in the accounting records. The results of the study are intended for the development of the methodology and practice of analysis of financial statements, as well as a critical look at the accounting standard for lease accounting.