THE EFFECTS OF CREATIVE ACCOUNTING ON FINANCIAL STATEMENTS IN THE ENTERPRISES

Abstract

Creative accounting is a research topic that attracts a lot of attention, as it
involves adjusting actual accounting data according to the way the board of
directors wants it, through taking advantage of regulations current accounting or
ignore these regulations. In Vietnam, a developing economy with a fledgling
capital market, in the trend of global economic integration, creative accounting
behaviors need to be strictly controlled to meet the requirements of transparency
and quality of information disclosure. The article discusses issues related to creative
accounting, the impact of creative accounting on financial statements and gives
some implications for the business community in Vietnam today.