SIVECO Romania proposes an efficient way to adapt to the international accounting standards | SIVECO Romania

SIVECO Romania proposes an efficient way to adapt to the international accounting standards

Friday, November 1, 2002

Bucharest, 1th of November 2002 - IT capital and free market economy development, as well as the emphasis on the economic globalization process imposed a change and a continuous improvement of the Romanian accounting system, the main purpose being to conform it with the regulations of the European Directives and the Accounting International Standards.

Taking into account that the European Union adhering process involves the improvement of the business environment in order to accelerate the local and international investment process, it is important to mention the accounting system and the financial audit roles. Because, what is very important is to provide relevant accounting information, high quality and comparable reports, able to encourage the international investments.

"Adopting IAS both at company and macro-economic level, will provide a transparent report system, which will reduce the capital cost. Furthermore, it creates the necessary conditions for market stability and economic increase", declared Marius Anghel, senior economist at SIVECO Romania

The module allows the user to elaborate financial situations in accordance with OMFP 94/ 2001, so that the Accounting Regulations according to the 4th Directive of European Economic Community and to the Accounting International Standards can be approved.

The application addresses both to companies in a transition period from internal accounting regulations to an attempt to apply the International Accounting Standards, and to those which already issue accounting evidences in accordance with the international standards

"IAS module within SIVECO Application financial - accounting meets the Romanian financial authorities' requests to align at the international accounting standards. In front of this request, the clients asked for a solution - and IAS module solves exactly this problem. The reference in accordance with the international regulations facilitates the communication with foreign partners, using common references", declared Mihaita Ionel, technical leader at SIVECO Applications.

Among the Advantages of using the International Accounting Standards within SIVECO Applications there can be mentioned:

-efficient company resources management;

-automation of the financial - accounting in order to get due time financial reports;

-processing the accounting information according to the Accounting International standards, with the possibility to emphasize the fiscal influences;

-flexible financial reports definition (Balance, Losses and Profit Account, the Situation of Cash Flow, Notes and so on) from the level of detail, report segment point of view, the possibility to define the synthetic indicators, previsions and analyses.

Here is a short resume of the facilities the application provides related to solving the requests imposed by the application of the International Accounting standards:

- For the transition period (the first application year) the module allows to re-view the financial situations elaborated according to the Application Regulation of the Accounting Rule, approved by the Government Decision no. 704/ 1993, in order to get re-viewed financial situations. There is as well the possibility to re-view the financial situations in accordance with IAS 29 - which reports the financial problems to the hyper-inflationist economies, a kind of re-view which can also be applied to the future financial exercises.

- All the necessary adjustments are organized in specific modules and the applications allow the user to get the financial information that results after the re-view.

- For the first application year there can be obtained intermediate check balance, made up of information about the sold at 31.12.N, IAS adjustments, IAS sold at 31.12. N and the checking balance which contains information about IAS sold at 31.12.N, IAS adjustments 29, IAS sold 29 at 31.12.N.

- During the first year of effective applications, the applications allow the clients to re-view the operations made during the financial exercise, to account for the adjustments and to get the intermediate balance with information about IAS sold at 31.12.N, N+1 rolling per year, IAS sold 31.12.N+1 and of the final balance with information about the IAS sold 29 at 31.12.N, N+1 rolling per year, IAS N+1 rolling per year, IAS 29 adjustments, IAS sold 29.31.12.N+1.

- The module also allows the user to make an evidence of the commissions by categories and offers the possibility to re-evaluate the claims and the debts in devices at the end of the financial exercise.

The standard application for stock and fixed assets evidence has specific modules. The application allows the user to keep an evidence of the fixed assets, both from a fiscal point of view and of the standard point of view, offering the possibility to store different means of re-paying, comparing them with the fiscal evidence and determining the fiscal influences.

Based on the final balance and other financial information, the user draws up report financial situations: Balance Sheets, Loss and Profit Account, the Situation of Treasury Flows, the Situation of changes in the user?s own capital, explanation notes at the financial situations.

The application offers the possibility to define as many types of financial situations as possible by a situation and financial indicators definition module.