Examination of the effects of accounting estimates changes on the income statement: An examination on ISE companies

The accounting estimates and the changes of accounting estimates that enterprises have elucidated may have some impact on the resolutions of financial information users. In particular, it is crucial the examination of the impacts of accounting estimation changes be made as any change in the accounting estimates is likely to influence the financial statements of both current and next period. The purpose of this study is to review the impact of accounting estimation changes on the profit/ loss table as part of the TMS 8 standard. In line with this purpose, financial reports of companies in all sectors traded in the Stock Exchange Istanbul (ISE) between 2013-2021, within what sorts of issues accounting forecasting changes were dealt frequently; by what sort of audit organizations, with what type of audit views and in what kind of sectors accounting forecasting changes were presented ; and, the effects of predictive changes on both current and next term profit/ loss tables were all utterly analyzed by using the method of content analysis. The main findings of this study have indicated that useful life change is the most common accounting estimate change; the impact of the accounting estimate change on profit / loss table is as an increase and / or decrease; the most lessening effect of current term on profit/ loss table was in 2014; and the most increasing effect was in 2018.