Analysis of the activities of international companies on the ukrainian-russian market under the influence of the war

Abstract

This article is devoted to the study of the nature of the reflection of such geopolitical events as the russian-Ukrainian war of 2022 in the note "events after the reporting period" of the annual financial statements of transnational companies for the year 2021. The article examines annual reports, for which the reporting period is from January 1, 2021 to December 31, 2021, and the russian-Ukrainian war began on February 24, 2022, the specified geopolitical event is the second type of event - an event that indicates the conditions that arose after the reporting period. Thus, according to the recommendations of the consulting company BDO and the auditing company KPMG, this event does not require the adjustment of the indicators of the annual report. Experts of the auditing company KPMG substantiated this statement by the fact that significant changes in the economic conditions of business and the political environment, as a direct consequence of the war, occurred after the end date of the reporting period. Substantial changes mean the military invasion of russia on the territory of Ukraine and, as a result, the introduction of economic sanctions against the government and business of russia and Belarus by the international community.