Theoretical Foundations of the Relations between Controlling and Reporting according to IFRS Demonstrated by the Example of Segment Reporting according to IFRS 8
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In this paper, the unilateral and reciprocal impact of transfer relations between controllingand reporting according to IFRS is analysed, using the example of internal andexternal segment reporting. In contrast to the pragmatic treatment of this problem by theInternational Accounting Standards Board (IASB), the transfer relations are examined inthis paper on a theoretically substantiated basis. For this purpose, transfer hypotheses areformulated as general statements on the determinants and effects of reporting. Theyform the elements of a reporting theory.The analysis focuses on the full management approach, which has a number of effectsfor the transfer relation between internal and external segment reporting. In detail,on the basis of transfer hypotheses, the effects for controlling, for the structure of segmentreporting, and for the auditing of segment reporting are presented and analysed.As the IFRS do not constitute a settled system of rules, open questions as to sucha body of rules are also discussed. In doing so – also on the basis of transfer hypotheses– alternatives of the improvement of segment reporting are analysed. This is done withthe aid of reliability hypotheses, valuation hypotheses, simplification hypotheses, steeringhypotheses and addressees hypotheses. In this way, the theoretical substantiation ofthe transfer relations between controlling and reporting according to IFRS is scientificallyestablished, both for the present structure of accounting and for future design alternatives.
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