Explaining the pattern of financial reporting challenges of the country's public sector
Subject Areas :Reza Sotudeh 1 * , Aref Khoshroo Moini 2
1 - Assistant Professor, Department of Accounting, Nikshahr Branch, Islamic Azad University, Nikshahr, Iran
2 - PhD student ,Department of Accounting, Zahedan Branch, Islamic Azad university, Zahedan, Iran.
Keywords: Challenge of reporting, public section, reporting quality,
Abstract :
Purpose: Purpose: In the last three decades, major changes in public management and especially the establishment of accrual accounting have been characteristic of the public sector of many countries. The financial system of the public sector of Iran is also in the process of implementation of these developments, according to the available evidence, that the accounting standards of the public sector are not fully and properly applied, the purpose of this study is to examine the challenges of public sector financial reporting in the country.
Methodology: The current research is conducted qualitatively. The statistical population of this research includes university accounting professors and executive managers of government organizations and auditors of government organizations.
Findings: By using library studies as well as semi-structured interviews and receiving experts' opinions, concepts related to the challenges of financial reporting in the country's public sector were extracted. Based on the results, 12 main challenges affecting public sector financial reporting were identified. The experts confirmed the extracted components based on Delphi-fuzzy logistic type 3 approaches with Shaffer input function 4. The input function based on hybrid sine and cosine works more efficiently to cover uncertainty in expert responses. By using the principal component analysis approach, it was concluded that the challenges of the accounting system, economic factors and human resources are respectively the most important challenges affecting the quality of reporting in the country's public sector.
Originality: The lack of modern, integrated and compatible accounting systems with the executive process of government activities is the most important factor affecting the quality of financial reporting in the public sector of the country.
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