Understandability and Transparency of the Financial Statements of ...
Understandability and Transparency of the Financial Statements of ...
Understandability and Transparency of the Financial Statements of ...
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5.4.2 Accountability Mechanisms .................................................................... 110<br />
5.4.2.1 Charities Regulatory Bodies ............................................................. 111<br />
5.4.2.2 Rating agencies ................................................................................. 112<br />
5.4.2.3 Assurance .......................................................................................... 113<br />
5.4.2.4 Charities Boards ................................................................................ 117<br />
5.5 Relationships .................................................................................................... 118<br />
5.5.1 <strong>Transparency</strong> .......................................................................................... 118<br />
5.5.2 Governance ............................................................................................. 119<br />
5.6 Concepts <strong>of</strong> accountability .............................................................................. 121<br />
5.7 Limitations <strong>of</strong> Accountability .......................................................................... 124<br />
5.8 Summary .......................................................................................................... 124<br />
CHAPTER 6: PROFESSIONAL ACCOUNTABILITY ......................................... 126<br />
6.1 Introduction ...................................................................................................... 126<br />
6.2 Accounting basis .............................................................................................. 128<br />
6.2.1 Accounting basis used ............................................................................. 128<br />
6.2.2 Certainty <strong>of</strong> receipts ................................................................................ 129<br />
6.2.3 Matching concept .................................................................................... 131<br />
6.3 Property, plant <strong>and</strong> equipment (PPE) .............................................................. 132<br />
6.3.1 Recording Property, Plant <strong>and</strong> Equipment ............................................. 132<br />
6.3.2 Fair value ................................................................................................ 134<br />
6.3.3 Depreciation ........................................................................................... 136<br />
6.4 Fund accounting ............................................................................................... 137<br />
6.4.1 Type <strong>and</strong> Purpose <strong>of</strong> funds ...................................................................... 137<br />
6.4.2 Recording <strong>of</strong> funds .................................................................................. 138<br />
6.4.3 Separate entities ...................................................................................... 140<br />
6.5 Key reasons why methods used ....................................................................... 143<br />
6.5.1 Pr<strong>of</strong>essional st<strong>and</strong>ards............................................................................ 144<br />
6.5.2 <strong>Underst<strong>and</strong>ability</strong> ................................................................................... 147<br />
6.5.3 Looking poor ........................................................................................... 151<br />
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