ALTERNATIVE POSSIBILITIES OF DETECTION OF MANIPULATION WITH THE ACCOUNTING DATA

The fraud reporting and data manipulation is discussed across the various scientific fields – in economy, finance, sociology and many others. Particularly, the economic and finance data are under the strong scrutiny. In literature we can find extensive discussion on the creative accounting, which is considered as the source of the intensive data manipulation. It is pointed on the fact that the managers may adopt various methods to manipulate the financial statements of their firms to show their higher/better performance and to receive the higher managerial earnings. The Benford law as a statistical tool is illustrated as a possible tool in detecting this problem.