Financial reporting of intangible assets – evidence on information and communication companies in Czech Republic

• Published in: Journal of international studies (Kyiv) Vol. 11; no. 2; pp. 327 - 340
• Main Authors: Malíková, Olga, Brabec, Zdeněk, Rozkovec, Jiří
• Format: Journal Article
• Language: English
• Published: Szczein Centre of Sociological Research 2018; Fundacja Centrum Badań Socjologicznych; Centre of Sociological Research/Tsentr Sotsiolohichnykh Doslidzhen; Centre of Sociological Research, Szczecin
• Subjects: Accounting - Business Administration; Advantages; Business Economy / Management; Case studies; Chi-square test; chi-square test of independence; Communication; Communications technology; Companies; Competition; Competitive advantage; Competitiveness; Customer satisfaction; Czech Republic; Economic policy; Financial reporting; Global environment; ICT Information and Communications Technologies; information and communication technologies; Information gathering; Information technology; Innovations; intangible assets; Interpersonal communication; Multiculturalism & pluralism; Petroleum; Present Times (2010 - today); Public relations; Spearman rank correlation; Success; Transformation Period (1990 - 2010); Czech Republic; financial reporting; chisquare test of independence; information and communication technologies; Czech Republic; Spearman rank correlation; intangible assets
• ISSN: 2071-8330; 2306-3483
• DOI: 10.14254/2071-8330.2018/11-2/22

Intangible assets are becoming an increasingly important part of companies’ assets. However, their recognition and measurement in financial statements is often complicated and is subject to the requirements of a given accounting regulation. Therefore, the objective of this article is to find out the relationship between the size of a company and the disclosure of intangible assets. To do so, financial statements of companies operating in the field of information and communications published between the years 2005 and 2015 are analysed. The established hypotheses are tested using the methods of descriptive statistics, the Chi-Square test of independence and the method of Spearman rank correlation. The results of this research confirm that larger companies publish their financial statements for a longer period than smaller ones. Subsequently, it was found that the structure of publishing companies, as well as companies disclosing intangible assets does not change over time. In addition, it has been concluded that larger companies disclose intangible assets more often than smaller ones. Finally, it was confirmed that the share of intangible assets to fixed assets is higher in larger companies.