 ASPECTS OF THE ACCOUNTING TREATMENT OF ASSOCIATIONS FOR JOINT USE OF MACHINE-TRACTOR FLEET IN AGRICULTUREVania K. Georgieva Economy & Business Journal, 2014, vol. 8, issue 1, 252-257 Abstract: The Associations of Companies operating in the Agriculture Sector benefit from a number of advantages – they are easier adaptable to the European market and more competitive. Similar structures have easier access to credits, logistics, marketing, commerce, processing and distribution. Their aim is to secure fair incomes for the employees in the sector, specialization of production within the EU, and the same quality standards applied to the whole products chain. Besides the fact that these associations eliminate the middlemen, they also take care that the production of their members meets the requirements of the market and the quality and quantity criteria. The point of these organizations is to reduce the overall costs through sharing resources such as machines, joint purchasing of inputs, etc. The establishment of arrangements for joint use of machinery in agriculture is not a common practice in Bulgaria for the time being. This is due to various reasons, but the fact that they are widespread in the EU shows that they have their own place among the other structures in Agriculture. The fact that the creation of such arrangements is stimulated by the European programmes, as well as the fact that they are a good alternative that offsets the lack of machine-tractor fleets in a number of agricultural farms, give reasons to assert that soon they will become reality for Bulgarian Agriculture as well. The accounting treatment of similar structures depends on their legal form, on the arrangement agreement terms and conditions, and on some other facts and circumstances. The accountancy rules in the individual reports of the associated parties form subject of the International Financial Reporting Standards. Keywords: associations; machine-tractor fleet; joint arrangements; joint operation; joint venture (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:isp:journl:v:8:y:2014:i:1:p:252-257 Access Statistics for this article More articles in Economy & Business Journal from International Scientific Publications, Bulgaria |
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