DEVELOPMENT OF ACCOUNTING METHODOLOGY AND THE FORMATION OF RESERVES IN THE RAILWAY SYSTEM

Abstract

The formation of the national accounting system is in close connection with changes in the economic situation in the country, responding to the nature and level of development of national accounting practices. This shows a trend towards harmonization and standardization of accounting and stipulates the increasing role of IFRS. Objective necessity is to adapt techniques based on national standards to the international. The practice of applying international financial reporting standards, the country’s legislation introduced the concept of fair value. This type of evaluation causes a lot of controversy and is one of the most debated issues in the scientific community. The particular relevance of this type of evaluation becomes the result of the inflationary process, when the real value of the inventory is “lost” under their influence. The article provides an assessment of potential variant of an allowance for doubtful accounts based system of railway administration. Demonstrate the use of the second method of provision and the sequence of actions across levels of governance. Evaluated the feasibility of formation of provisions for bringing to the fair value of the stock. Examines approaches to the concepts of “reserve” and “regulators”.