IMPROVING FINANCIAL STATEMENT FORMS IN ACCORDANCE WITH INTERNATIONAL STANDARDS

Abstract

The globalization of business activities and the rapid integration of capital markets have significantly increased the demand for transparent, comparable, and high-quality financial reporting across countries. Investors, creditors, and other stakeholders now rely on financial statements not only to assess past performance but also to evaluate future prospects and risks. In this context, improving the structure and content of financial statement forms in line with International Financial Reporting Standards (IFRS), developed by the IFRS Foundation and issued by the International Accounting Standards Board, has become a strategic priority for many economies.This article explores theoretical and practical aspects of aligning financial statement formats with IFRS requirements. It analyzes key deficiencies commonly observed in traditional, locally oriented reporting systems, such as excessive tax influence, insufficient disclosure, lack of fair value measurements, and limited comparability. The study highlights how these weaknesses reduce the usefulness of financial information for international users and hinder cross-border investment flows.Special attention is given to the modernization of the main components of financial reporting, including the Statement of Financial Position, Statement of Profit or Loss and Other Comprehensive Income, Statement of Changes in Equity, and Statement of Cash Flows. Through practical examples, the paper demonstrates how revised classification, measurement, and presentation approaches improve the reliability and relevance of reported data. It also examines the role of explanatory notes in strengthening transparency, risk assessment, and corporate accountability. Furthermore, the article discusses institutional, methodological, and technological challenges that arise during the transition to IFRS-based reporting forms. These include the need for professional judgment, staff training, updated accounting information systems, and regulatory support. Based on the analysis, the study proposes practical solutions and policy recommendations aimed at facilitating smoother implementation and ensuring consistency in reporting practices. The findings suggest that adopting internationally harmonized financial statement structures significantly enhances the credibility of financial information, increases investment attractiveness, supports effective corporate governance, and improves managerial decision-making. Ultimately, the improvement of financial statement forms in accordance with IFRS contributes not only to individual organizational performance but also to the sustainable development and global integration of national economies.