Developing the Accounting Measurement for Value-Added Approach to Increase the Environment Accounting Effectiveness

Abstract

The traditional accounting thinking disregarded and neglected what could result from transactions between the economic unit and others, which could have secondary effects on the society and on other economic units. On one hand, the environmental pollution may cause a waste in the society's resources and damages for other economic units. On the other hand, secondary effects - negative or positive - may result too. Therefore, the social welfare of economic units depends on economic and social responsibility. The problem of the research is to determine the relevant rules and standards, which enable the managerial accountants to insure quality in measuring the benefits and damages.

The research includes a survey and analysis of previous studies. The field study is testing three hypotheses. The research presents some important conclusions and recommendations.