Goodwill Disclosures under Uncertainty: Poland

Klimczak, K. M., Dynel, M., & Pikos, A. (2016). Goodwill impairment test disclosures under uncertainty. Accounting & Management Information Systems/Contabilitate Si Informatica De Gestiune, 15(4), 639-660

23 Pages Posted: 4 Sep 2015 Last revised: 11 Feb 2017

See all articles by Karol Marek Klimczak

Karol Marek Klimczak

Lodz University of Technology

Marta Dynel

University of Lodz

Anna Marta Pikos

Kozminski University

Date Written: September 3, 2016

Abstract

The goal of this paper is to examine how disclosures of goodwill impairment tests under IAS 36 are prepared in conditions of high uncertainty. The data come from Polish companies listed at the Warsaw Stock Exchange, where economic and legal developments have been dynamic as compared to the main global equity markets, thus increasing uncertainty. We use interviews and content analysis, and we draw on genre theory to understand how narrative disclosures are written. We find that the disclosures follow clear rules of a genre, which require the financial statement disclosures to be a domain of facts. In cases where significant doubts concerning the reliability of impairment test outcomes exist, preparers place clues that professional readers can notice and follow to determine the reliability of test results themselves. These findings suggest that specific disclosure requirements are needed in countries where the national culture does not favor open discussions of the limitations to the reliability of accounting numbers.

Keywords: accounting, reporting, narrative, content analysis, interviews

JEL Classification: M40

Suggested Citation

Klimczak, Karol Marek and Dynel, Marta and Pikos, Anna Marta, Goodwill Disclosures under Uncertainty: Poland (September 3, 2016). Klimczak, K. M., Dynel, M., & Pikos, A. (2016). Goodwill impairment test disclosures under uncertainty. Accounting & Management Information Systems/Contabilitate Si Informatica De Gestiune, 15(4), 639-660, Available at SSRN: https://ssrn.com/abstract=2655525 or http://dx.doi.org/10.2139/ssrn.2655525

Karol Marek Klimczak (Contact Author)

Lodz University of Technology ( email )

Poland

Marta Dynel

University of Lodz ( email )

Ulica Prezydenta Gabriela
Narutowicza 65 str.
Lodz, 90-131
Poland

HOME PAGE: http://unilodz.academia.edu/MartaDynel

Anna Marta Pikos

Kozminski University ( email )

ul. JagielloDska 57/59
Warsaw, 03-303
Poland

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
125
Abstract Views
1,424
rank
307,977
PlumX Metrics