The Impact of the Adopted Accounting Policy on the Results of Liquidity and Profitability Analysis of Enterprises

Abstract:

The purpose of this paper is to present the impact of the adopted accounting policy and its impact through the financial statements on the results of the financial analysis - by influencing the base data used in this analysis. The issues presented in the paper are issues in the area of individuals' decision-making allowed by law - and they still provide the entity with tools to improve its "financial image". Deliberate, aggressive data distortions would have a far-reaching impact.