Selected paper

Kouřilová, Jindřiška Plevková, Dana
DMFCA Model as a Possible Way to Detect Creative Accounting and Accounting Fraud in an Enterprise
Year: 2013
Volume: 4
Issue: 2
Pages: 14-27
JEL: M41, M42
DOI: 10.5817/FAI2013-2-2


creative accounting, fraud in accounting, fraud detection models, DMFCA model

The quality of reported accounting data as well as the quality and behaviour of their users influence the efficiency of an enterprise’s management. Its assessment could therefore be changed as well. To identify creative accounting and fraud, several methods and tools were used. In this paper we would like to present our proposal of the DMFCA (Detection model Material Flow Cost Accounting) balance model based on environmental accounting and the MFCA (Material Flow Cost Accounting) as its method. The following balance areas are included: material, financial and legislative. Using the analysis of strengths and weaknesses of the model, its possible use within a production and business company were assessed. Its possible usage to the detection of some creative accounting techniques was also assessed. The Model is developed in details for practical use and describing theoretical aspects.


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