Relevance of PAS 41 Provisions for Davao City Agricultural Entities in the Context of Post-Covid Accounting Challenges

Abstract

This research investigates the awareness and compliance with the PAS 41 standard within the agricultural industries of Davao City, Philippines. The study reveals a pressing need for improvement in awareness and adherence to accounting standards attributable to the inherent complexities of agricultural operations and transactions. Using descriptive statistics and multiple regression analyses, Factors influencing compliance, including legal systems, providers of finance, taxation, national culture, and other influences, were identified and found to be perceived at a high level by agricultural entities. An analysis of the perceived relevance of PAS 41 provisions indicates that recognition and measurement provisions are highly relevant, while presentation and disclosure provisions are considered relevant. The research findings highlight a practical deviation from the theoretical framework, emphasizing the unique challenges agricultural entities face in adhering to generic accounting standards. This underscores the necessity for a balanced approach that respects standard uniformity while allowing for practical adaptability within industries with distinct operational characteristics.