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Accounting for Pharmaceutical Companies: Navigating a Complex Landscape
Author: Dr. Eleanor Vance, CPA, CMA, Ph.D. (Accounting)
Dr. Vance is a Professor of Accounting at the University of California, Berkeley, specializing in the financial reporting of regulated industries, including pharmaceuticals. She has over 20 years of experience in both academia and industry, advising numerous pharmaceutical companies on accounting best practices.
Keyword: Accounting for pharmaceutical companies
Introduction:
Accounting for pharmaceutical companies presents a unique and multifaceted challenge. The industry's inherent complexities, driven by high R&D expenditure, long development cycles, stringent regulatory environments, and the high value of intellectual property, demand a specialized approach to financial reporting. This article delves into the specific accounting considerations for pharmaceutical companies, exploring both the inherent challenges and the opportunities arising from this dynamic sector.
H1: The Unique Challenges of Accounting for Pharmaceutical Companies
The accounting landscape for pharmaceutical companies differs significantly from other industries. Several key challenges stand out:
H2: Research and Development (R&D) Expenditure:
A substantial portion of a pharmaceutical company's budget is allocated to R&D. Under U.S. GAAP and IFRS, R&D costs are generally expensed as incurred, despite the potential for future benefits. This contrasts with other industries where capital expenditures are capitalized. This expensing can significantly impact profitability and requires careful accounting for the allocation of R&D costs across different projects and stages of development. The accounting for pharmaceutical companies needs to accurately reflect this significant investment while adhering to accounting standards. This can lead to significant variability in reported profits year-over-year, depending on the success or failure of various R&D projects.
H2: Intangible Assets:
Pharmaceutical companies possess significant intangible assets, primarily in the form of patents, trademarks, and licenses. Accounting for these assets requires careful valuation and amortization, considering factors such as expected useful life and potential impairment. The valuation of intangible assets is particularly complex in the pharmaceutical industry due to the inherent uncertainties associated with drug approvals and market success. Proper accounting for pharmaceutical companies in this regard is crucial for a fair representation of their financial position.
H2: Revenue Recognition:
The complexities of revenue recognition in the pharmaceutical industry are significant. The accounting for pharmaceutical companies must navigate diverse revenue streams, including product sales, licensing agreements, and government grants. The timing of revenue recognition can be challenging, particularly in the case of long-term contracts and collaborative research agreements. The recent adoption of ASC 606 (IFRS 15) introduced further complexity, necessitating a thorough understanding of the five-step model for revenue recognition.
H2: Regulatory Compliance:
Pharmaceutical companies operate under stringent regulatory environments, globally and within each national market. Compliance with regulations concerning clinical trials, drug approvals, pricing, and marketing significantly impacts accounting practices. Failure to comply can lead to substantial fines and penalties, further complicating the financial reporting process. Accounting for pharmaceutical companies must integrate a robust system of internal controls to mitigate these risks.
H1: Opportunities in Accounting for Pharmaceutical Companies
Despite the challenges, accounting for pharmaceutical companies also presents significant opportunities:
H2: Data Analytics and Predictive Modeling:
The vast amount of data generated by pharmaceutical companies, including clinical trial data, sales data, and R&D spending, presents an opportunity to leverage advanced analytics and predictive modeling techniques. This can lead to more accurate financial forecasting, improved resource allocation, and better risk management.
H2: Enhanced Transparency and Investor Relations:
The increasing demand for transparency in the pharmaceutical industry necessitates robust and reliable financial reporting. Companies that demonstrate strong accounting practices and clear communication with investors are likely to benefit from increased investor confidence and access to capital.
H2: Specialized Expertise and Career Growth:
The specialized nature of accounting for pharmaceutical companies creates a demand for professionals with specific expertise in this area. This presents significant opportunities for career growth and specialization within the accounting field.
H1: Conclusion:
Accounting for pharmaceutical companies demands a deep understanding of both accounting principles and the intricacies of the pharmaceutical industry. While the challenges are significant, the opportunities for innovation and value creation are equally compelling. By embracing advanced technologies, enhancing transparency, and adhering to robust accounting practices, pharmaceutical companies can navigate the complexities of their financial reporting to build investor confidence, drive growth, and contribute to the development of life-saving medications.
FAQs:
1. What are the key differences between accounting for pharmaceutical companies and other industries? The primary differences lie in the significant R&D expenditure (expensed rather than capitalized), the substantial value of intangible assets, the complexities of revenue recognition, and the stringent regulatory environment.
2. How does the ASC 606 (IFRS 15) impact revenue recognition in the pharmaceutical industry? It necessitates a five-step model focusing on identifying the performance obligation, determining the transaction price, allocating the transaction price, recognizing revenue when performance obligations are satisfied, and presenting the information in the financial statements.
3. How are intangible assets valued in the pharmaceutical industry? Valuation is complex and often involves a combination of cost, market, and income approaches, considering factors like the expected useful life and potential for impairment.
4. What are the common accounting challenges related to clinical trials? Challenges include accounting for the significant costs involved, allocating costs to different phases of the trial, and recognizing revenue from collaborative research agreements.
5. How do regulatory changes impact accounting practices in the pharmaceutical industry? Regulatory changes often necessitate revisions to accounting policies, procedures, and internal controls, to ensure compliance.
6. What role does internal control play in accounting for pharmaceutical companies? Robust internal controls are crucial to ensure accurate financial reporting, compliance with regulations, and the prevention of fraud.
7. What are the emerging trends in accounting for pharmaceutical companies? Emerging trends include increased use of data analytics, blockchain technology for improved transparency and traceability, and the adoption of AI-driven auditing techniques.
8. How can pharmaceutical companies improve their financial reporting practices? Improvements can be made through continuous process improvement, enhancing data quality and analysis, strengthening internal controls, and fostering a culture of ethical accounting.
9. What are the career prospects for accountants specializing in the pharmaceutical industry? Career prospects are strong due to the specialized nature of the accounting required and the ongoing demand for experienced professionals who understand both accounting standards and the pharmaceutical industry.
Related Articles:
1. "Pharmaceutical Revenue Recognition under ASC 606: A Practical Guide": This article provides a detailed explanation of the revenue recognition standard and its application to specific pharmaceutical transactions.
2. "Valuing Intangible Assets in the Pharmaceutical Industry: A Case Study Approach": This article explores various valuation methods and offers case studies illustrating their application in the pharmaceutical context.
3. "The Impact of Regulatory Compliance on Pharmaceutical Financial Reporting": This article examines the influence of regulations on accounting practices and explores strategies for ensuring compliance.
4. "Data Analytics and Predictive Modeling in Pharmaceutical Accounting": This article focuses on the application of data analytics to improve forecasting, resource allocation, and risk management.
5. "Internal Controls and Fraud Prevention in the Pharmaceutical Industry": This article examines best practices for establishing effective internal controls to mitigate fraud risks.
6. "International Accounting Standards (IFRS) and Their Application to Pharmaceutical Companies": This article provides an overview of IFRS and how they apply to the pharmaceutical sector, particularly contrasting them with US GAAP.
7. "The Role of Forensic Accounting in Pharmaceutical Investigations": This article focuses on the specialized area of forensic accounting and its application to investigations within the pharmaceutical industry.
8. "Accounting for R&D in Pharmaceutical Companies: A Comparative Analysis of GAAP and IFRS": A comparative analysis illustrating differences in treatment and implications for financial reporting.
9. "Best Practices in Pharmaceutical Financial Reporting: A Benchmarking Study": This article examines best practices among top pharmaceutical companies and provides benchmarks for improving financial reporting processes.
Publisher: The Journal of Pharmaceutical Accounting and Finance (JP&AF) – A peer-reviewed academic journal published by the American Accounting Association (AAA), known for its rigorous standards and high-quality research in the field of accounting.
Editor: Professor David Miller, CPA, Ph.D. (Accounting) – A renowned expert in pharmaceutical accounting with extensive experience in both academia and industry.
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| accounting for pharmaceutical companies: Valuing Pharmaceutical Companies Karen Beynon, Andrew Porter, 2000-06-19 The pharmaceutical sector offers some of the most exciting financial and business opportunities today. This essential and practical guide gives you all the tools you need to assess such opportunities. The second edition of the respected Pharmaceutical Equities, it has been thoroughly revised and updated to reflect the changes, especially in life sciences, since the first edition. The book is international in outlook, and explains the rules of the game not just for wise investing, but also for understanding how this uniquely complex and highly regulated business works. The authors explain: HOW to evaluate the technology and research and development, as well as the sales potential of ensuing products WHAT key issues will affect and influence companies in the next few years HOW to balance potential high returns on breakthrough products against accompanying risks The book begins with a look at the global pharmaceutical industry, from its history to the structure of present day companies. The second part explores how to analyse and value pharmaceutical and biotechnology companies. The final part deals with trading itself and looks at share price movement and the main equity markets throughout the world. Both practical and comprehensive, this handbook will be essential reading for investors, analysers and corporate planners - and is the ONLY book which will show you how to actually value pharmaceutical companies. |
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| accounting for pharmaceutical companies: Corporate Crime in the Pharmaceutical Industry (Routledge Revivals) John Braithwaite, 2013-10-08 First published in 1984, this book examines corporate crime in the pharmaceutical industry. Based on extensive research, including interviews with 131 senior executives of pharmaceutical companies in the United States, the United Kingdom, Australia, Mexico and Guatemala, the book is a major study of white-collar crime. Written in the 1980s, it covers topics such as international bribery and corruption, fraud in the testing of drugs and criminal negligence in the unsafe manufacturing of drugs. The author considers the implications of his findings for a range of strategies to control corporate crime, nationally and internationally. |
| accounting for pharmaceutical companies: Research and Development in the Pharmaceutical Industry (A CBO Study) Congressional Budget Office, 2013-06-09 Perceptions that the pace of new-drug development has slowed and that the pharmaceutical industry is highly profitable have sparked concerns that significant problems loom for future drug development. This Congressional Budget Office (CBO) study-prepared at the request of the Senate Majority Leader-reviews basic facts about the drug industry's recent spending on research and development (R&D) and its output of new drugs. The study also examines issues relating to the costs of R&D, the federal government's role in pharmaceutical research, the performance of the pharmaceutical industry in developing innovative drugs, and the role of expected profits in private firms' decisions about investing in drug R&D. In keeping with CBO's mandate to provide objective, impartial analysis, the study makes no recommendations. David H. Austin prepared this report under the supervision of Joseph Kile and David Moore. Colin Baker provided valuable consultation... |
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| accounting for pharmaceutical companies: Modern Pharmaceutical Industry Thomas Jacobsen, Albert Wertheimer, 2010-10-25 With its expansion into the global marketplace, the pharmaceutical industry of today is uniquely positioned to improve the global health standards of society by saving lives and improving the quality of lives around the world. Modern Pharmaceutical Industry: A Primer comprehensively explains the broad range of divisions in this complex industry. Experts actively involved in each division discuss their own contribution to a pharmaceutical company's work and success. Divisions include regulatory affairs, research and development, intellectual property, pricing, marketing, generics, OTC, and more |
| accounting for pharmaceutical companies: The Changing Economics of Medical Technology Institute of Medicine, Committee on Technological Innovation in Medicine, 1991-02-01 Americans praise medical technology for saving lives and improving health. Yet, new technology is often cited as a key factor in skyrocketing medical costs. This volume, second in the Medical Innovation at the Crossroads series, examines how economic incentives for innovation are changing and what that means for the future of health care. Up-to-date with a wide variety of examples and case studies, this book explores how payment, patent, and regulatory policiesâ€as well as the involvement of numerous government agenciesâ€affect the introduction and use of new pharmaceuticals, medical devices, and surgical procedures. The volume also includes detailed comparisons of policies and patterns of technological innovation in Western Europe and Japan. This fact-filled and practical book will be of interest to economists, policymakers, health administrators, health care practitioners, and the concerned public. |
| accounting for pharmaceutical companies: The Pharmaceutical Industry Ethan N. Parvis, 2002 Politicians consistently wage high-profile battles over prescription drugs and the companies that make them. The dilemma is balancing the pharmaceutical industry's need to make a profit with the public's need for affordable medical care. This book presents analyses of the federal government's regulation of the drug industry and the arguments over the prices of prescription drugs. |
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| accounting for pharmaceutical companies: Environmental Management Accounting: Informational and Institutional Developments M.D. Bennett, J.J. Bouma, T.J. Wolters, 2002-07-31 Environmental Management Accounting (EMA) is increasingly recognised as a distinguished tool of environmental management. It helps to integrate a company's environmental and business interests, whereby enhancing corporate eco-efficiency in terms of reducing environmental costs or making one's product more competitive. This book gives a comprehensive coverage of the state of the art. It presents a number of EMA frameworks that companies can take as a basis for implementing their own specific EMA structures. Besides discussing environmental accounting issues within conventional management accounting, it gives a detailed picture of materials flow (cost) accounting as an alternative way of looking at the ecology-economy relationships at the corporate level. A fascinating case study shows how a large company (Siemens) applies materials flow accounting and what benefits it entails. |
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| accounting for pharmaceutical companies: Mergers and Productivity Steven N. Kaplan, 2007-12-01 Mergers and Productivity offers probing analyses of high-profile mergers in a variety of industries. Focusing on specific acquisitions, it illustrates the remarkable range of contingencies involved in any merger attempt. The authors clearly establish each merger's presumed objectives and the potential costs and benefits of the acquisition, and place it within the context of the broader industry. Striking conclusions that emerge from these case studies are that merger and acquisition activities were associated with technological or regulatory shocks, and that a merger's success or failure was dependent upon the acquirer's thorough understanding of the target, its corporate culture, and its workforce and wage structures prior to acquisition. Sifting through a wealth of carefully gathered evidence, these papers capture the richness, the complexity, and the economic intangibles inherent in contemporary merger activity in a way that large-scale studies of mergers cannot. |
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| accounting for pharmaceutical companies: From Breakthrough to Blockbuster Donald L. Drakeman, Lisa N. Drakeman, Nektarios Oraiopoulos, 2022 Beginning in the 1970s, several scientific breakthroughs promised to transform the creation of new medicines. As investors sought to capitalize on these Nobel Prize-winning discoveries, the biotech industry grew to thousands of small companies around the world. Each sought to emulate what the major pharmaceutical companies had been doing for a century or more, but without the advantages of scale, scope, experience, and massive resources. How could a large collection of small companies, most with fewer than 50 employees, compete in one of the world's most breathtakingly expensive and highly regulated industries? This book shows how biotech companies have met the challenge by creating nearly 40% more of the most important treatments for unmet medical needs. Moreover, they have done so with much lower overall costs. The book focuses on both the companies themselves and the broader biotech ecosystem that supports them. Its portrait of the crucial roles played by academic research, venture capital, contract research organizations, the capital markets, and pharmaceutical companies shows how a supportive environment enabled the entrepreneurial biotech industry to create novel medicines with unprecedented efficiency. In doing so, it also offers insights for any industry seeking to innovate in uncertain and ambiguous conditions. Looking to the future, it concludes that biomedical research will continue to be most effective in the hands of a large group of small companies as long as national healthcare policies allow the rest of the ecosystem to continue to thrive-- |
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| accounting for pharmaceutical companies: The Oxford Handbook of the Economics of the Biopharmaceutical Industry Patricia M. Danzon, Patricia Munch Danzon, Sean Nicholson, 2012-04-24 This volume examines the economics of the biopharmaceutical industry, with eighteen chapters by health economists. |
| accounting for pharmaceutical companies: Accounting and Valuation Guide: Assets Acquired to Be Used in Research and Development Activities AICPA, 2016-11-07 This new guide provides guidance and illustrations regarding the initial and subsequent accounting for, valuation of, and disclosures related to acquired intangible assets used in research and development activities (IPR&D assets). This is a valuable resource for preparers of financial statements, auditors, accountants and valuation specialists seeking an advanced understanding of the accounting, valuation, and disclosures related to acquired IPR&D assets. |
| accounting for pharmaceutical companies: The Pharmaceutical Industry and Dependency in the Third World Gary Gereffi, 2017-03-14 Gary Gereffi first explains how foreign corporations took over the flourishing Mexican steroid industry in the 1950s and 1960s and thwarted the country's later attempts to establish a more equitable distribution of industry benefits. In this valuable theoretical contribution Professor Gereffi uses the Mexican industry's plight as a crucial-case test for dependency theory. Originally published in 1983. The Princeton Legacy Library uses the latest print-on-demand technology to again make available previously out-of-print books from the distinguished backlist of Princeton University Press. These editions preserve the original texts of these important books while presenting them in durable paperback and hardcover editions. The goal of the Princeton Legacy Library is to vastly increase access to the rich scholarly heritage found in the thousands of books published by Princeton University Press since its founding in 1905. |
| accounting for pharmaceutical companies: Innovation and the Pharmaceutical Industry H. Tristram Engelhardt, 2014-05-14 Innovation and the Pharmaceutical Industry: Critical Reflections on the Virtues of Profit examines the central role of profit in the development of pharmaceuticals, medical devices, and health care generally. Recent efforts to understand this role have often underestimated and even dismissed its importance, arguing for its replacement by other means and mechanisms. However, as the essays in this volume attest, it would be impossible to account adequately for the range of pharmaceuticals and medical devices that have become part of everyday medicine without recognizing that the depth and scope of innovations are tied not simply to altruism, a concern for the common good, or the pursuit of knowledge for its own sake, but crucially to the pursuit of private good and of individual profit. Balancing a concern for theory and practice, the analyses and evaluations provided in these essays touch directly on many of the most heated and important debates in pharmaceutical ethics, such as profit margins, corporate social responsibility, drug advertising, litigation, patents, and parallel trade. Reflecting critically on the problems and prospects of medical innovation, they invite a rethinking of the foundations of the bioethics and business ethics of the pharmaceutical and medical device industries by focusing on the long-term impact of policy decisions for human health and well-being. |
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| accounting for pharmaceutical companies: Accounting Christopher Nobes, 2014-03 Provides a guide to understanding and using accounting information. |
| accounting for pharmaceutical companies: The End of Accounting and the Path Forward for Investors and Managers Baruch Lev, Feng Gu, 2016-06-27 An innovative new valuation framework with truly useful economic indicators The End of Accounting and the Path Forward for Investors and Managers shows how the ubiquitous financial reports have become useless in capital market decisions and lays out an actionable alternative. Based on a comprehensive, large-sample empirical analysis, this book reports financial documents' continuous deterioration in relevance to investors' decisions. An enlightening discussion details the reasons why accounting is losing relevance in today's market, backed by numerous examples with real-world impact. Beyond simply identifying the problem, this report offers a solution—the Value Creation Report—and demonstrates its utility in key industries. New indicators focus on strategy and execution to identify and evaluate a company's true value-creating resources for a more up-to-date approach to critical investment decision-making. While entire industries have come to rely on financial reports for vital information, these documents are flawed and insufficient when it comes to the way investors and lenders work in the current economic climate. This book demonstrates an alternative, giving you a new framework for more informed decision making. Discover a new, comprehensive system of economic indicators Focus on strategic, value-creating resources in company valuation Learn how traditional financial documents are quickly losing their utility Find a path forward with actionable, up-to-date information Major corporate decisions, such as restructuring and M&A, are predicated on financial indicators of profitability and asset/liabilities values. These documents move mountains, so what happens if they're based on faulty indicators that fail to show the true value of the company? The End of Accounting and the Path Forward for Investors and Managers shows you the reality and offers a new blueprint for more accurate valuation. |
| accounting for pharmaceutical companies: Pharmacy Business Management Steven B. Kayne, 2005 Although pharmacy students and pharmacists receive considerable training and guidance on pharmacy practice, relatively little published information is available on business management specifically relevant to pharmacy. This new text provides a comprehensive introduction to the fundamentals of business management, and will help guide both potential and practising pharmacists, pharmacy owners, branch managers and students through the many pitfalls of running a successful pharmacy. A series of case studies serves to illustrate how material may be applied in practice. |
| accounting for pharmaceutical companies: Accounting and Control for Sustainability Lucrezia Songini, Anna Pistoni, Christian Herzig, 2013-11-25 This book aims to explore new challenges and prospects for sustainability accounting by considering a large spectrum of theoretical lenses and research methods. It brings together articles that consider main areas of accounting, in order to review and advance theorizations and methodological applications to the study of all main accounting fields. |
| accounting for pharmaceutical companies: Health Care Policy and Regulation Thomas A. Abbott III, 2012-12-06 5 care reforms. Part II: Price Regulation The second partofthis volume examines the role ofprice regulation in controlling health care costs. It contains three chapters. In chapter seven, I examine the alternatives for regulating pharmaceutical prices. In chapter eight, Jack Hadley examines the impactofvarious forms ofhospital price regulation; while in chapter nine,MarkPaulyexaminestheroleofpriceregulation incontrollingphysician fees. Chapter seven focuses on the issue of regulating pharmaceutical prices. There are two key issues examined in this paper. First, is there a clear need for price regulation, and second, can price regulation work in this industry? In response to the first question, I come to the conclusion that the proponents ofprice regulation have not really proven their case. Although the financial returns in the pharmaceu tical industry have been slightly higher than expected during the 1970s and 1980s, there is not overwhelming evidence ofprice gouging or excessive profits on the part of the industry. In response to the second question, the answer is clearly no. The traditional approaches to price regulation will not have the intended affect of eliminating excess profits from the industry while maintaining the incentives for research and development. First, rate-of-return regulation, the most natural approach, would result in many adverse incentives-includingexcessive investment in research and developmentinorderto inflatetheratebaseused tocalculatedtheallowablereturns. |
| accounting for pharmaceutical companies: Proceedings of the 4th International Conference on Research in Management and Technovation Thi Hong Nga Nguyen, |
| accounting for pharmaceutical companies: The Price of Global Health Ed Schoonveld, 2011 The Price of Global Health is the first book of its kind: an in-depth but straightforward exploration of the pharmaceutical pricing strategy process, its underlying market access, general business and ethical considerations, and its implications for payers, physicians and patients. It is a much needed and invaluable resource for anybody interested, involved in or affected by the development, funding and use of prescription drugs. In particular, it is of critical importance to pharmaceutical company executives and other leaders and professionals in commercialization and drug development, including marketing, business development, market access and pricing, clinical development, drug discovery, regulatory affairs, health outcomes, market research and public affairs. |
| accounting for pharmaceutical companies: Innovation and Marketing in the Pharmaceutical Industry Min Ding, Jehoshua Eliashberg, Stefan Stremersch, 2013-10-31 The pharmaceutical industry is one of today’s most dynamic and complex industries, involving commercialization of cutting-edge scientific research, a huge web of stakeholders (from investors to doctors), multi-stage supply chains, fierce competition in the race to market, and a challenging regulatory environment. The stakes are high, with each new product raising the prospect of spectacular success—or failure. Worldwide revenues are approaching $1 trillion; in the U.S. alone, marketing for pharmaceutical products is, itself, a multi-billion dollar industry. In this volume, the editors showcase contributions from experts around the world to capture the state of the art in research, analysis, and practice, and covering the full spectrum of topics relating to innovation and marketing, including R&D, promotion, pricing, branding, competitive strategy, and portfolio management. Chapters include such features as: · An extensive literature review, including coverage of research from fields other than marketing · an overview of how practitioners have addressed the topic · introduction of relevant analytical tools, such as statistics and ethnographic studies · suggestions for further research by scholars and students The result is a comprehensive, state-of-the-art resource that will be of interest to researchers, policymakers, and practitioners, alike. |
| accounting for pharmaceutical companies: Research in Accounting Regulation Gary Previts, 2000-12-20 The scope of service provided by professional accountants is influenced by legislation and case law as well as the dictates of a variety of government and private sector agencies; including State Boards of Accountancy, Academic Accreditation Bodies, the United States Securities and Exchange Commission, independent standard setting bodies such as the Federal Accounting Standards Advisory Board [US], the Financial Accounting Standards Board [US], and self-regulatory organizations such as State Societies of CPAs and the American Institute of Certified Public Accountants. There are equivalent and emerging national bodies that exist in most developed and developing countries, and further there are emerging global coordinating entities as well, which attempt to coordinate the activities among nations. It is important for academics, students, practitioners, regulators and researchers to consider, study and understand the role and relationship of such bodies with the practice and content of our discipline. Research in Accounting Regulation is a refereed annual serial that seeks to publish high quality manuscripts, which address regulatory issues and policy affecting the practice of accountancy, broadly defined. Topics of interest include research based upon: self-regulatory activities, case law and litigation, government and quasi-governmental regulation, and the economics of regulation, including modeling. The serial aims to encourage the submission of original empirical, behavioral or applied research manuscripts that consider strategic and policy implications for regulation, regulatory models and markets. |
| accounting for pharmaceutical companies: Strategic Priorities in Competitive Environments Hasan Dincer, Serhat Yüksel, 2020-06-15 This book combines various analyses of strategic priorities in a competitive market environment, focusing on the balanced scorecard technique, but also considering customer expectations, organizational requirements, financial outcomes and technological infrastructures. The first part explores the financial impacts and performance measurement of investments, while the second part examines customer demand in a globalized environment. Part three then addresses organizational quality and internal processes, highlighting participatory elements and synergies. Lastly, part four investigates strategic learning in enterprises as a factor for sustainable economic success in times of change and disruption. |
| accounting for pharmaceutical companies: A Prescription for Success in Pharmaceuticals: Transforming a Startup into a Profitable, Cash-Producing Enterprise Barrie Levitt, 2017-04-24 Any legislative, regulatory or administrative action to correct the problem of increasing prices should be based upon a thorough understanding of the forces at play in the market and the interests of each class of trade in the drug manufacturing and distribution system. This book describes the complexities of the market for branded and generic drugs. An attempt to reduce FDA requirements to increase the number of generic competitors may endanger public health without resulting in a decrease in prices to end consumers. This book outlines some of the critical issues facing the healthcare industry today, in addition to providing a detailed blueprint for all aspects of running a successful pharmaceutical company. Executives and professionals in the pharmaceutical industry and other manufacturing based companies will benefit from Dr. Levitt's insights acquired over 50 years that enabled him to transform a small, unprofitable pharmaceutical company into a multi-billion-dollar global entity. |
| accounting for pharmaceutical companies: Professionals ́ Perspectives of Corporate Social Responsibility Samuel O Idowu, Walter Leal Filho, 2009-10-21 Since the general acceptance of the field of corporate social responsibility worldwide, corporate entities and those who act for them either as executives or ordinary employees are expected to be socially responsible. Being socially responsible has a number of quantifiable and unquantifiable benefits for the entity and its stakeholders. It improves the entity’s bottom line results, protects jobs, and is also better for the environment. As such, it makes good sense for professionals and those that they interact with as colleagues, suppliers of goods and services, lenders etc to want to take the issue of CSR seriously. This perhaps explains why this book has chosen to explore how 19 professions across the world have integrated and continue to impress upon their staff the importance of CSR in their operational activities. We are constantly reminded that our world’s natural resources are exhaustible; we can therefore no longer live for today alone if we do not want to cause substantial problems for future generations. |
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Asian Finance & Banking Review Vol. 6, No. 1; 2022 ISSN 2576-1161 E-ISSN 2576-1188 Published by CRIBFB, USA 1 GENDER DIVERSITY ON BOARD AND ITS RELEVANCE TO
Research on Audit Failure of Listed Companies - sjemr.org
28, 2018, the CSRC had filed an investigation on Kangmei pharmaceutical Co. Ltd. On April 29, 2019, Kangmei Pharmaceutical issued an announcement on correction of previous accounting …
SCOPE 3 GREENHOUSE GAS EMISSIONS CALCULATION: …
Environment Group consists of leading pharmaceutical companies who collaborate in order to demonstrate and promote environmental leadership in the pharmaceutical industry, working …
The Environmental Cost Accounting Treatment in …
ENVIRONMENTAL COST ACCOUNTING TREATMENT IN PHARMACEUTICAL COMPANIES (A STUDY OF PT. SUMBER OBAT MALANG ) The Environmental Cost Accounting Treatment in …
The Carbon Impact of Biotech & Pharma, October 2022
public companies and 3.3 times higher for private companies versus scope 1 and 2 combined with most of that impact coming from purchased goods and services and use of sold goods. …
Enterprise performance management pharmaceutical …
This leaves pharmaceutical companies looking for timely, cutti ng edge, future- focused information to help them shape optimal asset portfolios and make the right decisions to drive …
ISSN: 2643-976X Impact Of Board Diligence And External …
The current study aims to address this issue by investigating publicly listed Nigerian pharmaceutical companies' accounting disclosures, board diligence, and external auditors. Aim …
Life Sciences Industry Accounting Guide Research and …
companies; medical device, diagnostic, and equipment manufacturers; and service companies such as drug distributors, contract research organizations (CROs), contract manufacturing …
359 Cost Accounting Practices in Bangladesh A Study of the ...
management accounting practices adopted by the manufacturing companies that operate in Bangladesh. More specifically, the main objective of this study is to explore the cost and …
Financial Analysis of Pharmaceutical Companies in India - IJSR
Financial Analysis of Pharmaceutical Companies in India Akanksha Puwar1, Kashish Jalan2, Ashim Garg3 Indian Institute of Technology Delhi, Hauz Khas, Delhi, 110016 Abstract: Being …
GlaxoSmithKline PLC: Identifying And Analyzing IFRS Vs. U.S.
IFRS is the dominant financial accounting and reporting system outside the U.S., with now 156 jurisdictions around the world either requiring or permitting domestic listed companies to use …
Economic Profits in the Biopharmaceutical Industry - Secretariat
Economic Profits in the iopharmaceutical Industry Page 2 Abstract • Traditional profitability measures showing high profits for the biopharmaceutical industry do not account for the …
2023 Carbon Impact of Biotech & Pharma Report - My Green …
com/pharmaceutical-manufacturing-market. 6 This study used publicly reported and inferred data, outlined in . the methodology section, for 234 . companies classified as Biotechnology . and …
Analysis of the relationship between Intellectual Capital …
Performance of Pharmaceutical Companies in Kenya James M. Ngari 1, Robert Gichira 2 & Anthony Waititu 2 1 School of Business and Economics, Kenya Methodist University.
Impact of Ind AS Adoption on the Financial Position of …
Position of Companies in Pharmaceutical and Health Care Sector Amrita Dutta, Ratan Borman, Subit Dutta Abstract: A new era of financial reporting started in India from 2016 because of the …
Report of Independent Auditors Philippines - Sun Pharma
accounting policies. In our opinion, the accompanying financial statements present fairly, in all material respects, the financial position of the Company as at March 31, 2021 and 2020, and its …
Canadian Pharmaceutical Market - High Commission of …
•Between 2011 to 2020, pharmaceutical imports into Canada increased by 58% • In the same period, Canadian pharmaceutical exports increased by 143% • United States accounted for …
Impact of Current and Non-Current Assets on the Profitability …
International Journal of Management, Accounting and Economics Vol. 6, No. 11, November, 2019 ISSN 2383-2126 (Online) ... Pharmaceutical companies of Pakistan play a vital role in the …
Revenue Recognition for Life Sciences Companies
FOR LIFE SCIENCES COMPANIES Companies will have to apply significant judgment to determine the timing and amount of revenue recognition, perhaps more so than under today’s …
Under ASC 605 - Deloitte United States
In accounting for collaborative arrangements under ASC 808, entities often also apply the revenue recognition guidance — for example, when: ... As noted above, pharmaceutical companies …
EMPIRICAL ANALYSIS OF FINANCIAL ACCOUNTING …
pharmaceutical market, and we, therefore consider it an interesting area to analyze. The central focus of the study is on the relevance of financial accounting information from the perspective …
Greenhouse Gas Accounting Sector Guidance for …
foreword 1 acknowledgements 2 glossary of terms 3 colour boxes 5 1 introduction 6 1.1 the purpose of this guidance document 6 1.2 how the document is structured 8 1.3 how to use the …
УДК 657.1 Skrypnyk M. I. Vyhivska I. M. - ResearchGate
УДК 657.1. Skrypnyk M. I. Associate Professor, Doctor of Economics, Head of Accounting and Auditing, Kyiv National University of Technology and Design, Kyiv, Ukraine,
Report on Special Purpose Indian Accounting Standards (Ind …
Pharmaceutical Industries Limited, as at and for the year ended March 31, 2020. ... Companies (Indian Accounting Standards) Rules, 2015, as amended. Basis for Opinion We conducted our …
Survey of IFRS Accounting Practices of Pharmaceutical …
Survey of IFRS Accounting Practices of Pharmaceutical Companies That Used U.S. GAAP Prior to IRFS Abstract More than 100 countries around the world currently require or permit …
MINISTRY OF CORPORATE AFFAIRS Notification
read with clause (d) of sub‐section (1) of section 209 of the Companies Act, 1956 (1 of 1956), and in supersession of the Cost Accounting Records (Bulk Drugs) Rules, 1974 vide ... Short Title …
The Impact of Accounting Disclosure Levels on Improving the …
pharmaceutical companies in Jordan were is the total number equal (13) in the year of 2018. The total number of employees is (5500) Of whom (170) occupy leadership positions and the …
Sun Pharmaceuticals SA (Pty) Ltd
Accounting policies and explanatory notes to the financial statements Page 2 of 29 14 - 29. 13. 12; 11. 10: 7 - 9. 5 - 6: 4. 3: ... The principal activity of the company is trade of pharmaceutical …
A Review of Green Accounting, Corporate Social …
Environmental accounting, Corporate Social Responsibility, Return On Asset, Return On Equity and Firm Value . 1. Introduction . The application of environmental accounting by companies is …
The Impact of Sustainability Accounting on Financial …
pharmaceutical and chemical companies listed on the Amman Stock Exchange is not statistically significant at the level of α ≤ 0.05. • HO3: The impact of economic sustainability accounting on …
The Impact of Accounting Information on Management’s
Emmanuel Opoku Ware “The Impact of Accounting Information on Management’s Decision-Making Process in Pharmaceutical Companies in Ghana (Case Study: Kinapharma Ltd.)” 2 …
THE VALUE RELEVANCE OF ACCOUNTING INFORMATION …
Ho1: Accounting information of pharmaceutical companies listed in DSE is not value relevant. ii. Ho2: EPS of pharmaceutical firms listed in DSE are not statistically associated with the share …
Detection of Financial Statement Frauds Using Beneish
pharmaceutical companies was collected from their annual reports of 2014-18. This study finds that pharmaceutical companies of Bangladesh are engaged in Earnings Manipulation and they …
EFFECT OF CASHFLOW MANAGEMENT ON FINANCIAL …
African Journal of Accounting and Financial Research ISSN: 2682-6690 Volume 5, Issue 1, 2022 (pp. 1-13) 1 Article DOI: 10.52589/AJAFR-SHMLD3AQ
LEffect of Accounting Information Systems on Corporate …
Jordanian pharmaceutical companies. - To analyze the impact of accounting information systems on financial reporting and decision-making in Jordanian pharmaceutical companies. 1.4 Study …
Contents lists available at GrowingScience Accounting
performance of pharmaceutical companies in Vietnam. The correlation regression method is used to quantify the impact of internal control on the performance of pharmaceutical companies in …
A Study on Financial Fraud at Kangmei Pharmaceutical Based …
Pharmaceutical, including inflating revenue, forging accounting documents, establishing an unreasonable equity structure before financing, and fabricating profits through "related-party …
HUMAN RESOURCE ACCOUNTING AND FINANCIAL …
KEYWORDS: Human Resource Accounting, Profit after tax, Total revenue, Firms and Net asset. INTRODUCTION All companies need strong and competitive human resource to succeed, the …
Compulsory Disclosure of Environmental Accounting …
2. Environmental Information Disclosure of Pharmaceutical Companies Pharmaceutical listed companies are listed companies which mainly engage in chemical pharmaceuticals, biological …
Vol.11, No. 8, pp.1-14, 2023 Print ISSN: 2053-4086(Print), …
European Journal of Accounting, Auditing and Finance Research Vol.11, No. 8, pp.1-14, 2023 ... Listed Pharmaceutical Companies in Nigeria Lyndon M. Etale and Seimiegha P. Levi-Owonaro …
Full Disclosure of Environment Accounting Information on …
2. Environmental information disclosure of pharmaceutical companies Pharmaceutical listed companies are listed companies which mainly engage in chemical pharmaceuticals, biological …
