B52 - Current Heterodox Approaches: Historical; Institutional; EvolutionaryReturn

This paper is focused on the detection of the information potential of the financial statements of non-profit organizations of two selected states. The accounting law limits the content and format of the financial reports forming the complex of the financial statements. Non-profit organizations shall use the system of double-entry accounting or single-entry accounting. Depending on the chosen system of accounting they prepare financial statements in the prescribed structure. In single-entry accounting the financial statement consists of cash receipts and cash payments and the statement of assets and liabilities. In double-entry accounting the financial statement consists the balance sheet, profit and loss statement and notes to financial statements. Collection of information contained in the financial statements shows the status and changes in property, economy of non-profit organization and responds to changes of regulations aristing from membership in the European Union. By performing a literature search using the methods of deduction and comparison were detected identical, analogous, discordant and absentee informations.

This article deals with a comparison of the impact of institutional environment on the competitiveness of Croatia and Serbia between 2000 and 2010. After 2000, both states began to implement institutional and economic reforms. Institutional environment is measured and evaluated by concept Governance Matters of World Bank. Because of limited extent of the text, two indicators of the Governance Matters concept - the level of political stability and the level of rule of law - were chosen for a deeper analysis. Competitiveness is determined by the World Competitiveness Index of World Economic Forum. The paper concludes that institutional environment is a weakness of both countries and the slow dynamics of institutional change is, in accord with new institutional economics and new political economy one of the reasons why both countries have had slow growth of competitiveness and in global comparison have fallen behind.