INTERNATIONAL STANDARDS FOR REPORTING OF FINANCIAL INSTRUMENTS (IAS 39, IFRS 7 AND IAS 32) IN THE COMMON PRACTICE OF CZECH COMPANIES

Abstract

It is well known the fact that once regulatory bodies adopt a financial reporting paradigm, it becomes the guiding principle for accounting regulation. This paradigm itself in the field of accounting represents the starting point of our research which focuses on the specific case of Czech Republic, namely on aspects concerning regulations in the field of financial instruments. An a priori economic analysis of national regulations in correlation with international standards inferences has been approached. In doing so, there were identified several key issues, which need to be discussed when thoroughly analyzing accounting regulations for financial instruments. Paper represents a first step within intended scientific demarche, a priori research having the quality of generating feedback on hypothetical reporting alternatives prior to implementation. Forward, those issues analyzed through the regulations perspective need to be closely quantified in matters of their actual implementation, pertinent conclusions and correlations being then made regarding the status of the country within the global capital market.