Title: The component approach - From the harmonization process as a background to the perception of benefits and costs as effects.
Authors: Elin Börjesson & Emma Karlsson
Tutor: Titti Eliasson
Key concept: Harmonization, Component approach and Benefit/Cost
Background: With IFRS for SME's as a basis, the Accounting Board developed K3 which shall apply from financial year 2014. Upon introduction of the K3 companies will be forced to apply the component approach. When K3 with the associated component approach went out for consultation it resulted in a debate where some actors opposed the imposition of a requirement and not an option. It was questioned whether the costs with the component approach would be greater than the benefit of the implementation.
Formulation of the problem: How is the introduction and use of the component approach seen by different operators from a benefit-, cost perspective?
Aim: The aim of this essay is find out how the introduction and use of the component approach is seen by different operators from a benefit-, cost perspective. We also want to get an understanding of the role that the harmonization process has had in the development and introduction of the K3 and the associated component approach.
Methodology: We conducted a qualitative study in which we interviewed six respondents. We believe that the respondents represent different groups of operators in accounting and all have different knowledge which helps with a broad view of the component approach.
Results: We have concluded that the harmonization process in part have been a basis for the development and implementation of the component approach. The aim of the component approach has not clearly been communicated out and there are different opinions among actors. The component approach from a benefit-, cost perspective is perceived differently by different actors. Depending on whether the actor has a theoretical or practical approach the benefit and cost aspects is seen variously. A difference in the perception of benefit and cost aspects can be explained by the fact that actors see aspects from different time perspective
2014. , 70 p.