The problems related to accounting errors are a constant current topic. As such, it has also been the subject of this diploma work. The purpose of the analysis has been research and application of numerous measures related to the most common errors in accounting, defining of basic terms - truthfulness, errors, mistakes and fraud in accounting and methods of correction and prevention. In some cases, accounting errors have corresponded to fraud, so-called creative accounting and methods of falsifying accounting records. This work is divided into two main parts: a theoretical part and a practical part, within which discussions and results have been presented. The introduction to the theoretical part defines the legal definition of accounting, the relationship of the income tax act to accounting and ethics in accounting practice and individual authors' views regarding the issue of accounting errors. The practical part also contains presentation of opinions regarding regularly provided information based on publications, including additional information based on personal experience.

The diploma thesis deals with the issue of creative accounting and subsequent manipulation of financial statements. This is the current topic in our country and in the world. After several world scandals in the area of deliberate misrepresentation of accounting, an increasing emphasis is placed on the reporting ability of financial statements and, in particular, their true and fair value. Financial statements are often the basis for making economic decisions by external users of financial statements. Therefore, it is necessary to emphasize other possible methods leading to the detection of the misstatements in them. The diploma thesis is divided into literary and practical part. In the literary part the reader is acquainted with basic concepts, definition of creative accounting and accounting fraud. There is also a set of selected identification methods used both to prevent the creation and to detect accounting frauds. The practical part of the thesis applies four selected models to the financial statements of the selected entity. It is a small entity without an audit obligation where the main activity is the provision of IT services. Applied and further compared are the Beneish M-Score, Jones Nondiscretionary accruals, CFEBT and Piotroski F-Score models. An add-on is a bankrupt Altman model that evaluates the financial health of the entity, but it does not indicate anything about the possibility of disturbing the true and fair value. Risk periods are analyzed in detail using basic financial analysis techniques. The conclusion of the thesis provides an evaluation of the applicability and suitability of the used methods for the given type of business.

The dissertation deals with the issue of creative accounting of small and micro companies in the Czech Republic. Creative accounting is a phenomenon that gained importance in the 21st century after publicizing of a number of accounting scandals. In the context of economic crisis and budget deficit, the phenomenon of creative accounting, in particular the prevention and detection of financial manipulation, is a topical issue which draws attention of experts specialized in economics as well as of entire countries including the Czech Republic. The research focus on small and micro companies stems from the undeniable importance of this segment for the performance of the economy of the entire country. This dissertation provides a comprehensive view of the issue of creative accounting in terms of theoretical approaches as well as its practical application. Primary research is based on an analysis of the phenomenological paradigm, i.e. it focuses on the understanding of human behaviour on the basis of a reference framework of research participants. The main aim of primary research is to discover the motives, techniques, perception of risk and consequences of creative accounting in the Czech Republic. The main research method used in the research is a case study based on a comparison of four business entities. The consequences of creative accounting are illustrated on a critical case. The main limitation of the dissertation rests in the impossibility of examining a large sample. The research revealed some findings that are contributive in particular to practice in the area of prevention and detection of creative accounting. The research provides findings usable by supervisory bodies to improve detection of creative accounting, and thus to increase the perceived risks. Another contribution of the dissertation is a suggestion of several possible alterations of legislation which will help reduce existing opportunities of creative accounting in relation to the motives to carry out creative accounting. Assistance in directing further research into the issue of creative accounting may also be considered important, in particular for the theory.

Forskningsfråga: Vilka metoder använder banker för att kontrollera informationen i årsredovisningar vid lån- och kreditgivning? Syfte:                           Syftet med studien är att identifiera vilka metoder svenska banker använder vid kontrollering av årsredovisningar i samband med lån- och kreditgivning, detta för att vidare identifiera om kreativ redovisning kan upptäckas med hjälp av dessa. Studien bidrar till ökad förståelse om kreativ redovisning och dess metoder.Metod:                         Studien har genomförts med hjälp av kvalitativ forskningsmetod. Primärdata har samlats in genom intervjuer. Sekundärdata som behandlats i studien har inhämtats från litteratur, vetenskapliga artiklar och hemsidor. Slutsats:                       Det har konstaterats att banker vanligtvis använder fem metoder för att kontrollera informationen i årsredovisningar i samband med lån- och kreditgivning. Däremot är det en generell bild då processen kan se olika ut beroende på förtroende för företag, verksamhet och bransch.Samtliga fem metoder framkommer i tidigare forskning för att upptäcka kreativ redovisning, vilket tyder på att kreativ redovisning kan upptäckas av banker om företagskundens finansiella ställning förändras eller inte återspeglar branschgenomsnittet. Utöver ovannämnda metoder begär banker underlag och inleder dialog med ledningen när avvikelser uppstår. Kreativ redovisning kan dock användas i syfte att bibehålla utvecklingen, vilket resulterar i att avvikelser nödvändigtvis inte behöver uppstå. Slutsatsen kan därmed dras att banker inte kommer upptäcka kreativ redovisning som inte resulterar i avvikelser, men att det finns möjlighet att upptäcka kreativ redovisning när avvikelser uppstår. Detta för att banker gör ytterligare kontroller i sådana fall. / Research question:   Which methods do banks use to analyse information when granting loans? Purpose:                     The purpose of the study is to identify which methods Swedish banks use while checking annual reports during the process of loan and credit granting. This, to further identify whether creative accounting can be detected using these methods. The study contributes to increased knowledge about creative accounting and its methods.Method:                       The study has been conducted using qualitative research methods. Primary data has been collected through interviews. The secondary data in the study has been collected from literature, scientific articles, and websites. Conclusion:                 It has been established that banks usually use five methods to check the information in annual reports in connection with credit and loan granting. However, it is a general picture as the process can look different depending on the trust in the company, business and industry.All five methods appear in previous research to detect creative accounting. This shows that creative accounting can be detected by banks if the business costumers financial position changes or does not reflect the industry average. In addition to the methods mentioned above, banks request documentation and initiates dialogue with management when deviations occur. However, creative accounting can be used with the aim of maintaining development, which results in deviations not necessarily having to occur. The conclusion can be drawn that banks will not detect creative accounting which does not result in deviations, but there is an opportunity to detect creative accounting when deviations occur. This is because banks make additional checks in such cases.

The financial health of a company is important for the decision-making of a financial statement user for various reasons. It may be important for future investors to decide if they can invest in the company. In addition, it may also be important for a bank to decide whether the company can provide a credit. However, there are other cases where the user needs to know if the company is financially health. For this evaluation, there are selected the methods used to detect and evaluate the manipulation of financial statements. As these methods are selected the CFEBT model, the Beneish model and the Jones model of non-discretion accrual. Creditworthy models are used to determine whether the company is making any value for the future and there is any danger of bankruptcy. The creditworthiness index, the Tamari model and the IN05 model are selected as these models. In the diploma thesis, these methods are applied in six companies. There are the parent company named ABC a.s. and its five subsidiaries named with Roman numerals I-V. Names of companies are invention. In the practical part of the diploma thesis, the companies are analysed according to individual models and then there is determined the influence of subsidiaries on the parent company according the correlation coefficient. In the end the hypotheses are confirmed or refuted. The first hypothesis says that the whole consolidation unit is financially health. The second hypothesis assumes that the results of subsidiaries influence the results of parent company positively.

The topic of this diploma thesis is "Creative Accounting Techniques - Aspects of the Presentation of Financial Statements Prepared in Accordance with International Financial Reporting Standards". The aim of this thesis is to assess whether the selected entity has shown indicators of possible creative accounting in the context of publicly available financial statements compiled according to IFRS in comparison with Czech Accounting Standards and the subsequent assessment of acquired differences of both accounting approaches. For such assessment, selected detection models are used the Beneish model, the CFEBT model, and Jones Nondiscretionary Accruals. Moreover, there were calculated other two models Altman's Z-score and the Bonity Index. The diploma thesis is focused on the explanatory power of financial statements for stakeholders (or other external users) which has significant influence on their economic decision making. This work analyses issued and audited financial statements from the user's perspective who does not have any access to more detailed supporting documentation. The diploma thesis is divided into three main parts. The first part is the theoretical over-view of creative accounting. This part describes definitions, history, causes, effects, and techniques of creative accounting, as well as there are mentioned detection models which may help to identify manipulated financial statements. There are also presented bankruptcy and solvency models used for a financial analysis of the selected entity. The second part, methodological, contains the procedures and calculations of selected models used for the further analysis of creative accounting. The third part is devoted to evaluate the results of creative accounting analyses. In conclusion, there is commented the possible occurrence of creative accounting in the entity's financial statements and the explanatory power of both accounting systems.

The diploma thesis deals with the creative accounting of small enterprises in the Czech accounting practice. Natural effort of companies is a tax reduction. Therefore the techniques of creative accounting in the thesis are divided by whether the company is trying to manipulate the accounting data for tax or non-tax reasons. Theoretical description of techniques of creative accounting is completed cases of findings the tax offices. In conclusion of the thesis there are suggested possible solutions to avoid creative accounting.

The thesis deals with the manipulation of earnings reporting aka earnings management. The initial focus of the thesis is on the earnings management motivations and two ways how to achieve that. Firstly, earnings can be influenced by the management decisions to carry out some transactions without any economic sense. Secondly, there are creative accounting processes to manipulate earnings in required way, what we mainly pay attention to in the thesis. The theoretical part referring to particular earnings management techniques and the quality of earnings is followed by the practical part analyzing earnings management of the most famous companies regarding accounting scandals in history using specific measures. There are model examples to demonstrate these specific quality earnings measures based on the relation between income, accruals and operating cash flow stated before analyze itself.

The topic of the diploma thesis is creative accounting used in accounting of a certain business corporation. First, main terminologies that are important for creative accounting are identified. Further, various practices of creative accounting of a business corporation dealing with construction works are identified. Correct re-accounting of all accounting transactions that are in contradiction with laws is proposed. The analytical part summarizes all and compiles account sheets corresponding with the authentic and honest portrayal of accounting entity.

Syfte: Uppsatsens syfte är att undersöka graden av artificiell styrning av resultat i svenska kommuner och hur detta varierar för de olika åren inom en valperiod. Med valperiod menas valåret och de följande året fram till nästa val. Metod: I studien har en kvantitativ forskningsstrategi tillämpats, med en longitudinell forskningsdesign. Redovisningsdata har hämtats från SCB:s databas för 289 kommuner över perioden 1998-2022. Insamlade data har analyserats med hjälp av multipel regressionsanalys via statistikprogrammet SPSS. Resultat och slutsats: Resultatet från vår studie visar att samband mellan artificiell styrning av resultat och åren inom en valperiod har en ytterst låg förklaringsgrad. Examensarbetets bidrag: Vi tror att vår studie kan vara användbar för intressenter av kommunal redovisningen. Tidigare forskning från Italien gav indikationer på att artificiell styrning av resultat ökade under ett valår. Vi kan med vår studie ge en indikation på att så är inte fallet i Sverige. Förslag till fortsatt forskning: Det är möjligt att studien skulle få ett annat resultat om en annan forskningsmetod används. Därför föreslår vi att genomföra en ny studie där man istället mäter specifika periodiseringar eller spridning av resultatet. / Aim: The purpose of this study is to examine earnings management in Swedish municipalities and its correlation with years in an election period. Method: Our research is quantitative with a longitudinal design. Data for 289 municipalities has been collected from SCB over the period of 1998-2022. The data was analyzed through a multivariate regressions analysis, which has been done in a statistical program named SPSS. Results and conclusions: Our results indicate that the election period has no significant correlation with earnings management in Swedish municipalities. Contribution of the thesis: We think that our study is valuable for stakeholders in accounting from municipalities. Results from a study in Italy showed indications of increased use of earnings management during an election period. Our study gives an indication that this is not the case in Sweden. Suggestions for future research: With a change in research design the result of this thesis could change. That is why we suggest measuring earnings management either through specific accruals or through distribution of earnings after management.