ACCRUAL ACCOUNTING, FOUNDATION FOR THE FINANCIAL
       REPORTING INTO THE PUBLIC SECTOR ENTITIES


                 Aurelia Ştefănescu, Academy of Economic Studies, Bucharest
                  Eugeniu Ţurlea, Academy of Economic Studies, Bucharest

ABSTRACT: The development of the accounting system of the public sector entities at
mondial level has focused on taking up the accrual accounting as foundation for the financial
reporting and totally or partially giving up the cash accounting. Within this context, by this
research, we define the coordinates of the accrual accounting, we analyse the adoption of it
as a financial reporting basis into the public sector at international level and also the
implications of completing the cash accounting with the accrual accounting into the
Romanian public sector. The research takes into consideration a synthesis of the ideas
published upon this topic into the professional literature, the regulations issued by the
national and international accounting regulators, by accounting bodies.

Key words: public sector entity, accrual accounting, financial reporting, International Public Sector
Accounting Standards (IPSAS)

JEL codes:M 41, H 83