THE DYNAMICS OF THE ACCOUNTING MODELS AND THEIR IMPACT UPON THE FINANCIAL RISK EVALUATION

All the companies are exposed to risks and circumstances can take an unexpected turn at some point in time. What the company can control is how these risks are managed and firstly the steps to be taken to avoid them. The way how the scientific expertise, data and the advice on devising the risk strategies are understood, represented and incorporated into a structured system has visibly evolved since the 19th century until present, along with the accounting models and the main factors that triggered a higher concern in this sector.