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Effects of the application of the CNIIF 2 in the cooperative societies. An empirical study in two cooperative societies citrícolas of the Valencian Community across the economic - financial analysis

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Author Info
Marí Vidal, Sergio
Abstract

The present paper pretends to analyze the financial and economic effect that the application of the Interpretation of the International Financial Reporting Interpretations Committee about Members' Shares in Co-operative Entities and Similar Instruments could have in co-operatives. This Interpretation states that shares should be classified as financial liabilities in most cases. In Spain, the treatment that the different accounting regulations that have been current until now was completely different. Shares were considered as equity. In this sense, it’s true that this problem has been discussed during last years between spanish investigators, but the legal change is now, so the consequences will appear from now on. Because of this, we pretend to quantify, using the method case, the effect that this legal change could have in the main ratios used on the economic and financial analysis. As a conclusion, we can affirm that an important variation is observed, but the amount of it depends on the initial level of equity in the co-operative.

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File URL: http://mpra.ub.uni-muenchen.de/2670/
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Publisher Info
Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 2670.

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Date of creation: 2006
Date of revision: 2006
Handle: RePEc:pra:mprapa:2670

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Related research
Keywords: Co-operatives member’s shares IFRS IFRIC 2.

Find related papers by JEL classification:
M41 - Business Administration and Business Economics; Marketing; Accounting - - Accounting - - - Accounting

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This page was last updated on 2008-10-10.


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