回覧資料

Japanese
ACCOUNTING FORUM 2017

No. 25

JAPAN ACCOUNTING ASSOCIATION

Japan Accounting Association
Liaison Office: c/o International Business Institute, Co., Ltd
Tsukasa Building 3rd. F. , 518 Waseda Tsurumaki-cho, Shinjuku-ku,
Tokyo 162-0041, Japan

Copyright© 2017, Japan Accounting Association

Japanese ACCOUNTING FORUM 2017
JAPAN ACCOUNTING ASSOCIATION

Preface
Japanese ACCOUNTING FORUM of Japan Accounting Association (JAA) is
published annually to publicize academic activities of JAA in English. The first issue
of Japanese ACCOUNTING FORUM was published in 1993. This edition for 2017is the 25th issue of Japanese ACCOUNTING FORUM.
This issue contains the summary of presentations at the 75th Annual Conferenceof JAA which was held at Shizuoka Convention & Arts Center GRANSHIP in
Shizuoka Prefecture on September 12-14, 2016. It also includes the reports ofregional activities of JAA during the 2016 academic year.
I sincerely hope that Japanese ACCOUNTING FORUM serves the readers tobetter understand the activities of JAA.
Katsuhiko Kokubu
Chairman of the International Committee andManaging Editor of Japanese ACCOUNTING FORUM,
Japan Accounting Association

Contact: Professor Katsuhiko Kokubu
Graduate School of Business Administration
Kobe University
2-1, Rokkodai-cho, Nada-ku,
Kobe 657-8501, JAPANkokubu@kobe-u.ac.jp

1

JAPAN ACCOUNTING
Board of Directors (2017)

President:
Hisakatsu Sakurai,

ASSOCIATION

Kwansei Gakuin University

Directors:
Kunio Ito, Hitotsubashi University
Yoshihiro Ito, Waseda University
Shigeo Ohtsuka, Chiba University
Kazuhisa Otogawa, Kobe University
Hiroshi Obata, Hitotsubashi University
Teruyuki Kawasaki, Konan University
Masato Kikuya, Hosei University
Yasuyoshi Kurokawa, Senshu University
Katsuhiko Kokubu, Kobe University
Masanobu Kosuga, Kwansei Gakuin University
Shinya Saitou, Yokohama National University
Kazumi Suzuki, Kobe University
Kenji Tanaka, Meiji University
Yusuke Nakajo, Yokohama City University
Ichiro Hoshino, Hiroshima University
Takami Matsuo, Kobe University2

Japanese ACCOUNTING FORUM 2017

International Committee and 2016-2018 Editorial Board
Managing Editor:
Katsuhiko Kokubu,

Kobe University

Deputy Managing Editor:
Hiroshi Obata, Hitotsubashi University
Editors:
Takashi Ando, Chiba University of Commerce
Noriyuki Konishi, Aoyama Gakuin University
Chika Saka, Kwansei Gakuin University
Satoshi Sugahara, Kwansei Gakuin University
Tokuei Sugimoto, Kwansei Gakuin University
Noriyuki Tsunogaya, Nagoya University
Makoto Nakano, Hitotsubashi University
Akihiro Noguchi, Nagoya University
Tadanori Yosano, Kobe University

3

Past Editors of the Japanese ACCOUNTING FORUM :1993－1997
Seigo Nakajima, Managing Editor, Ferris University
Yukio Fujita, Deputy Managing Editor, Aichi Gakuin University
Youichi Hara, Ritsumeikan University
Kazuo Hiramatsu, Kwansei Gakuin University
Toshiro Hiromoto, Hitotsubashi University
Yoshiaki Jinnai, Tokyo Keizai University
Yoshihide Toba, Senshu University

1998－2000
Nobuo Kamata, Managing Editor, Chubu University
Kazuo Hiramatsu, Deputy Managing Editor, Kwansei Gakuin University
Tokugoro Murayama, Deputy Managing Editor, CPA
Shinji Hatta, Surugadai University
Akihiro Noguchi, Nagoya University
Yasuhito Ozawa, Senshu University
Shigeto Sasaki, Senshu University
Kazumasa Takemori, Chubu University

2001－2003
Nobuo Kamata, Managing Editor, Chubu University
Kazuo Hiramatsu, Deputy Managing Editor, Kwansei Gakuin University
Shinji Hatta, Surugadai University
Norio Igarashi, CPA
Noriyuki Konishi, Senshu University
Akihiro Noguchi, Nagoya University
Michimasa Satoh, Nagoya University
Kazumasa Takemori, Chubu University

2004－2006
Michiharu Sakurai, Managing Editor, Senshu University
Kazuo Hiramatsu, Deputy Managing Editor, Kwansei Gakuin University
Yukio Sakaguchi, Senshu University
Hironao Iwata, Tokyo International University
4

Past Editors of the Japanese ACCOUNTING FORUM :2007－2009
Kazuo Hiramatsu, Managing Editor, Kwansei Gakuin University
Noriyuki Konishi, Deputy Managing Editor, Okayama University
Akihiro Noguchi, Nagoya University
Norio Sawabe, Kyoto University
Takashi Yaekura, Hosei University
Koji Kojima, Kwansei Gakuin University

2010－2012
Yoshihiro Tokuga, Managing Editor, Kyoto University
Nobuhiko Sato, Deputy Managing Editor, Meiji University
Koji Kojima, Kwansei Gakuin University
Noriyuki Konishi, Aoyama Gakuin University
Akihiro Noguchi, Nagoya University
Norio Sawabe, Kyoto University

2013－2015
Yoshihiro Tokuga, Managing Editor, Kyoto University
Nobuhiko Sato, Deputy Managing Editor, Kumamoto Gakuen University
Noriyuki Konishi, Aoyama Gakuin University
Chika Saka, Kwansei Gakuin University
Satoshi Sugahara, Hiroshima Shudo University
Tokuei Sugimoto, Kwansei Gakuin University
Tomomi Shiosaki, Kyushu University
Noriyuki Tsunogaya, Nagoya University
Makoto Nakano, Hitotsubashi University
Akihiro Noguchi, Nagoya University
Yutaro Murakami, Keio University

5Japanese
ACCOUNTING FORUM
No. 25, 2017
CONTENTS
Preface(1)

Katsuhiko Kokubu

Report2016 Annual Conference

Morio Nagata(9)

Plenary Session: Accounting Issues Through the Age of Glocalization
Session 1: Local and Global Aspects in Financial Reporting
Conflicting Local Issues and Global Pressure for Convergence in the Japanese
Accounting Standard-Setting Process
Kensuke Ogata (11)An Experimental Study for Global Accounting Convergence: Towards a Future
Design for Accounting
Satoshi Taguchi (12)Macro Accounting and Macro Economy
Makoto Nakano(13)

Session 2: Globalization and Localization in Management Accounting
Globalization and Management Control Package in Japanese Companies
Yuichi Kubota (14)The Evolution of Management Control Systems in a Global Organization: The
Case of Target Costing in Toyota
Yumi Morofuji (15)
Accounting, Environment, and Innovations
6

Hirotsugu Kitada (16)Session 3: Glocalization of Audit -Toward the True GlobalizationAn Essay on the Globalization of Auditing Standards Setting in Japan
Yasuhiro Okunishi(17)

The Glocalization of Auditing Regulation and Standards -From the View Pointof AccountabilityYoshihiro Inoue (18)
An Expected Role of Internal Audit -Contribution Possibility to GovernanceFunction by Quality Assessment of Internal AuditKazuo Takeda (19)Session 4: Tax Accounting in the Era of Glocalization
The Influence on the Tax Accounting by the Glocalization of the Institutional
Accounting
Makoto Fujii (20)Influence of the Legal Perspective on Tax Policy and Tax Accounting in an Ageof Glocalization
Ikumi Fukuura (21)Globalization of Tax Accounting and Corporate Behaviors -From the Japanese
Evidence about the Taxation System of Received DividendHiroshi Ohnuma (22)Session 5: Local Government Accounting in the Era of Glocalization-Discussion for the Setting of JPSASThe Importance of JPSAS for Japanese Local Government
Hiroshi Yoshimi(23)

Trend of IPSAS and Implication for Japan’s Local Government Accounting
Kenji Izawa (24)
The Use of New Public Sector Financial Statements and Performance
Management in Japanese Local Government
7

Takami Matsuo(25)

Comprehensive Research on Strategic Management and Management
Accounting (Interim Report)
Masanobu Kosuga(26)

Theory, System and Utilization Practice of New Local Public Sector
Accounting (Final Report)
Hisashi Yamaura(28)

Study Groups:
The Impact of Integrated Reporting on Management Accounting (Interim
Report)Yoshihiro Ito(31)

Expansion of Disclosed Information and the Diversification of Audit
Framework (Interim Report)
Yoshinao Matsumoto(33)

Special Committees

Current Status and Issues of Female Accounting Researchers in Japan (Final
Report)Keiko Kitamura (35)International Session(38)

Regional Reports
Hokkaido Region

Hiroshi Yoshimi(40)

Tohoku Region

Shuhei Kinugawa(41)

Kanto Region

Yasuyoshi Kurokawa(42)

Chubu Region

Norimasa Ito(43)

Kansai Region

Makoto Yori

(44)

Kyushu Region

Keiichi Oishi

(45)

8

2016 Annual Conference of JAA
Report2016 Annual Conference
Chairman of 2016
Annual Conference

Morio Nagata
Shizuoka University
The 75th conference of Japan Accounting Association (JAA) was held at Shizuoka
Convention & Arts Center GRANSHIP on September 12-14, 2016. Afterconsideration with Program Committee, which is chaired by Shinya Saito, the main
theme of this year’s conference was set as “Accounting in the Glocalization (Global
and Localization)”.
This was the first time, since the establishment of JAA in 1937, that the Annual
Conference had been held in Shizuoka Prefecture and that was held by the
consortium of 4 universities (Shizuoka University, University of Shizuoka, Shizuoka
Sangyo University, and Tokoha University).
On the first day (September 12th), after the Council and General Assembly ofMembership, we had presentations by two Special Committees and three Study
Groups, followed by a special speech, “Accounting as a Learned Profession : What is
the Pathway ?”, by Dr. Bruce K. Behn (University of Tennessee) at Shizuoka
Convention & Art Center GRANDSHIP. We also held a welcome reception at the
Shizuoka Associa Hotel that evening.
On the Second day (September 13th), we had 77 presentations in concurrent
sessions, including 9 presentations for graduate students, and 6 presentations ininternational sessions, including 2 presentations from the Korean Accounting
Association (KAA) members and 2 presentations from the Taiwan Accounting
Association (TAA) members. Furthermore, presentations on Plenary sessions were
held at five venues (financial, management, audit, tax, and governmental
accounting).
On the last day (September 14th), we had 30 presentations in concurrent sessions,
including 7 presentations for graduate students. And discussion regarding the Plenary
sessions were held each venue, followed by presentations and discussion from two
speakers in IFRS/ASBJ session moderated by Atsushi Ogasaka.

9Over 600 members attend the 75th conference. There were plenty of meaningful
discussions during 3 days. I would like to express here our special thanks to all
related personals and parties as a chairperson of the preparatory committee.
Member of the preparatory committee of the 75th conference of Japan Accounting
Association.
Chairperson:
Morio Nagata
Committee Members:
Ayako Ishikawa
Daisaku Sakai
Fusao Matui

Takefumi Ueno
Kazumi Sato
Yuji Mori

Yuuki Ohta
Shigeo Ohtsuka
Kaoru Tanaka Hyoma Hayashi
Kimitoshi Yamamoto

Member of the program committee.
Chairperson:
Shinya Saito
Committee Members:
Tetsuyuki Kagaya
Takatoshi Hayashi

Seiji Sato
Nobuhiko Sato
Takami Matsuo

10

2016 Annual Conference of JAA
Plenary Session: Accounting Issues Through the Age of
Glocalization
Session 1: Local and Global Aspects in Financial Reporting
Conflicting Local Issues and Global Pressure for Convergence in theJapanese Accounting Standard-Setting Process
Kensuke Ogata
University of Nagasaki
My research presentation aims to show the effectiveness and impact of research
focusing on organization formation of accounting standard setters. First of all, I
presented some previous researches on the relationship between organization
formations of the standard setters and their standard setting activities about the US
FASB and the IASB. This research examined whether organization formation can be
an effective explanatory factor to explain the Japanese standard settings.
Recent studies on accounting regulation have shed light on the nature of standard
setters, especially what kinds of actors take responsibility for making accounting
regulation, and how the standard setters are organized. In this regard, it is assumed
that differing occupational and geographical backgrounds of board members canconduce to the different approaches to desirable accounting standards; the standard
setters consequently produce different standards in accordance with the dominating
occupational and geographical backgrounds in those setters. In both cases of the
FASB and the IASB, these setters reshaped their organizational structures to address
issues to which they confronted, and concentrated on developing accounting
standards which aimed at responding to these issues and differed from the previous
ones.
This research presentation also examined the relationship between theorganization formation and the contents of accounting standards in the context ofJapanese accounting standard setting process, especially the activities of the ASBJ
during the period from 2008 to 2010 when emergently requested to address theglobalization of accounting in Japan. In doing so, I used social network analysis forclarifying the ASBJ’s structure. According to the result, the ASBJ structured theaccounting-profession-centric network which was different from the past network
dominated by the preparers of financial statements and the academic experts. The
ASBJ likely changed its organizational structure in a strategic way for responding to
the confronted matters, as with other accounting standard setters.
11

An Experimental Study for Global Accounting Convergence:
Towards a Future Design for Accounting
Satoshi Taguchi
Doshisha University
This report shows that the key to solving the international social choice ofaccounting standards and the meaning of coexistence of accounting standards is in“experimental accounting theory” which combines game theory and economic
experiment.
The essence of international social choice of accounting standards seems to becooperation with the opponent nations. On the premise of such an essence, theaccounting standard selection problem of each country can be modeled as a simple 3
× 3 coordination game. Then, assuming several patterns for the standard quality andthe system transition cost, predicting each consequence with game theory andverifying the prediction by economic experiments, the following knowledge can beobtained: Firstly, even if we make the assumption that the IFRSs is the only
high-quality accounting standard for all countries, there is a possibility that thecountries may fall into a conglomerate state without doing anything. Secondly, forinternational convergence of accounting standards, advance diversity (coexistence)of standards is required.
In order to elucidate the problem of accounting system selection at the world level,
it is indispensable to analyze the intent and behavior of the economic entity overaccounting and to get an evidence for policymaking. To that end, it is necessary toconstruct an experimental accounting using game theory and economic experiment
for this analysis.

12Macro Accounting and Macro Economy
Makoto Nakano
Hitotsubashi University
Accounting researchers have long focused mainly on firm-level accounting
numbers. In recent years, a new research stream is emerging, that is“Macro-Accounting”. “Macro-Accounting” focuses on aggregate level accounting
information. We empirically investigate information usefulness of aggregate
earnings for GDP growth rate estimation using Japanese data set.
Using quarterly reporting information, we investigate information usefulness ofaggregate earnings for GDP growth rate estimation. We observe three findings fromempirical tests. First, aggregate earnings are positively related to future GDP growthrate. Second, aggregate earnings information is as useful as macro economy
variables including CI (Composite Index). Third, aggregate earnings information has
incremental information contents beyond market index return.
There are few study in this area. However, I believe that “Macro-Accounting”
literature is a growing body of work with a promising future.

13

Session 2: Globalization and Localization in Management
Accounting
Globalization and Management Control Package
in Japanese Companies
Yuichi Kubota
Nanzan University
This study aims to show that new research areas in management control practices
are facing the impact of globalization. Prior research shows that management control
packages deal with the problems of national cultures and manage the tension
between global integration and local responsiveness. We conducted a multi-site casestudy including the global headquarters, regional headquarters, and the local
operating subsidiaries of a Japanese company and observed the control package forbuilding and managing transnational challenges. The package was investigatedwithin the “Malmi and Brown” framework proposed in 2008. The case study
illustrated the following three directions for foreseeable extension of research on thecontrol packages of Japanese companies affected by globalization.
First, it is necessary to clarify the cost structures and explore transnational
management activities. When companies diversify their operations geographically,
they benefit from market size, learning, and location that create cost advantages.
Thus, it is necessary to identify the structural and executional cost drivers in thetransnational. Specifically, production plan changes, labor adjustment, and exchange
rate volatility affect cost management activities. Control packages for thetransnational should be designed to address these problems as they influencestrategizing and organizing.
Second, the roles of accountants and expatriates are changing. As accounting
information systems evolve, accountants’ strategic competence becomes more
important. They should take on the role of strategic advisors and use accounting datato communicate with local managers. Clearly, the number of Japanese expatriates isdeclining, as Japanese companies are beginning to empower their local management.
This change is influencing the effectiveness of control packages.
Finally, control packages should effectively relate to innovation. Institutional andcultural factors can be strong barriers that impede the transfer of proficiencies
developed in the domestic markets. However, diversities across borders are a sourceof innovation. The need is to explore how the control package for transnationals
helps managers to accomplish innovations.

14

The Evolution of Management Control Systems in a Global
Organization: The Case of Target Costing in Toyota
Yumi Morofuji
Rikkyo University
Many studies on transfer of target costing abroad were conducted in the early
1990s. These noted the difficulty of introducing simultaneous engineering(cross-functional interaction) and close buyer–supplier relationships into
subsidiaries abroad, and their suppliers. However, few recent studies exist on this
topic. The present study uses interviews to detail the current process of target
costing in Toyota Motor Engineering & Manufacturing North America, Inc.
(TEMA), Toyota’s U.S. subsidiary.
Though TEMA began target costing at a project level in 1999, few case studies oftransfer of target costing abroad (Okano and Kobayashi, 2015) have been conductedsince then. This study contributes to the existing literature by explaining the target
costing process in greater detail than Okano and Kobayashi (2015), and explores thecurrent relationship among organizational members in Japan and the U.S., and thecurrent cross-functional relationship in the U.S.
I first clarify how company-level profits are deployed to each country and project,
the expense item global target costing includes, and how costs are estimated andachieved.
Then, I explore communication devices that members in Japan and the U.S. use.
Though Toyota employs many devices such as e-mail and teleconferencing with
3D-CAD, it emphasizes the importance of face-to-face communication. Throughsuch communication, those in the Japan headquarters can communicate moreearnestly and can more effectively strengthen ties with and motivate U.S. suppliers.
I clarify how cross-functional interaction in TEMA and the buyer–supplier
relationship in the U.S. grew closer than in the 1980s. I also explore what factors ofa management control system (MCS) promote lateral interaction within an
organization, and focus on: (1) Communicating corporate philosophy that expresses
continuous improvement, respect for people, and encourages members to strive tocreate outstanding products; 2) using policy deployment (hoshin kanri) to permeate
corporate philosophy within members’ roles; 3) adopting competence evaluation that
embodies corporate philosophy; and 4) impelling members to achieve target costing
objectives.
Further research can improve understanding of the relationship between the above
MCS factors and lateral interaction among organizational members in foreigncountries.

15

Accounting, Environment, and Innovations
Hirotsugu Kitada
Hosei University
Material flow cost accounting (MFCA) is one of the most popular environmental
management accounting tools for resource efficiency, and recently, it has been
elevated to the status of an international standard, ISO 14051. The release of ISO
14051 enhanced the legitimacy of MFCA adoption and extended the stage of MFCA
diffusion from the early adopters in few countries to a much larger population
throughout the global economy. While companies still have considerable resource
efficiency improvement potential, previous research suggests that companies often
not adopt MFCA despite the benefits they recognize.
Because companies can start MFCA with special cost studies, its trialability ishigh enough to promote its diffusion in the early adopter stage. However, when acompany applies MFCA continuously, it is necessary to overcome conflicts between
MFCA and existing management perspectives. Previous research suggests that
controllability in operational process need to be modified to overcome the conflicts.
This presentation tried to understand the issue in relation to innovation, especially
focusing on diversities in management control systems.
The purpose of this research is to examine the relationship between MFCA andprocess innovations, and analyze the effects of management system design ofresource efficiency control on the process innovation. The field research suggeststhat the case company facilitates innovation by maintaining diversity of 1)
background of members in cross functional meeting for resource management, and2) communication mode in accountability systems.
The results contribute to the literatures by highlighting the effect of maintaining
diversity in a design of management control systems. This presentation also recent
calls in the literature for research into the associations between MFCA andmanagement control systems. By focusing on the complementary role ofmanagement control systems in the material flow based resource management, thecurrent presentation provides insights into the effects of different mode of diversity
in management control systems on process innovations.

16Session 3: Glocalization of Audit -Toward the True
GlobalizationAn Essay on the Globalization of Auditing Standards Settingin JapanYasuhiro Okunishi
Sensyu University
The purpose of my presentation is to gain insight into the globalization of CPAs
Audits in Japan. Referring to overseas Audit practice, the CPAs Audits in Japan
stated after World War Ⅱ and has developed to the present. Methodologically, I
reviewed the history of Auditing Standards Setting in Japan and divided roughly it
into the following four stages:
・First stage “the introduction of external audits in Japan”(1951 and 1956)
・Second stage “ the national coordination and expansion of CPAs Audits inJapan”(1960’s – 80’s)
・ Third stage “ the updating CPAs Audits to catch up globalized audit
requirements”(1989-2002)
・Forth stage “the reform to restore public confidence in CPAs Audits”(2007- )I examined preamble and content of Auditing Standards from global perspectiveon each of the four stages.
Auditing Standards has been revised many times to improve CPAs Audits inJapan. As a result, Auditing Standards in Japan adopt International Standards on
Auditing with few exceptions. Formally, CPAs Audits in Japan has achieved
globalization of Audit. But several accounting scandals have happened and raised
serious questions about the effectiveness of CPAs Audits in Japan. In order torestore public confidence in CPA Audits, many discussions have been made andseveral measures has been implemented. But it is not easy to improve theeffectiveness of CPAs Audits in Japan dramatically. There is a limit to adapt
overseas reference case that may introduce high quality Audit practice. While
globalization of CPAs Audits is a prerequisite currently, it is significant to provide
the audit services effectively and efficiently that benefits financial statements users,
not to replace CPAs Audits in Japan with globalized audit. In my opinion, it takes
long time but important to clarify and fix local factors that spoil the effectiveness of
CPAs Audits in Japan.

17

The Glocalization of Auditing Regulation and Standards-From the View Point of AccountabilityYoshihiro Inoue
Kagawa University
In this report, the glocalization of auditing regulation and standards is defined asfollows: applying rules about an audit of financial statements which are used as
global standards to Japan after having made modification to the Japanese situation
because of ensuring the effectiveness of them. In my opinion, typical examples of
the glocalization in this meaning are “Standard to Address Risks of Fraud in Audit”
published on March 26, 2013 and Auditing Standard Committee Standard 240(Revised) “The Auditor’s Responsibility Relating to Fraud in an Audit of Financial
Statements” published on June 17, 2013.
I think that these rules require accountability to an auditor in comparison with theglobal standards. It is said that accountability means the obligation to explain andjustify one’s action to others and therefore functions as means to secure
responsibility. So, in other words, they include some requirements for the purpose of
securing responsibilities relating to fraud in an audit of financial statements. For
example, they require an auditor in an audit of financial statements (1) to maintainprofessional skepticism throughout the audit, (2) to identify circumstances thatindicate the possibility of a material misstatement due to fraud and address them,and (3) to determine whether there is a suspicion of material misstatement due tofraud. All of these requirements require the auditor to document the process of
his/her judgements, and show characteristics of accountability, which are toexternalize and objectify responsibility, and to explain and justify one’s action toothers afterward.
In addition to these rules, some new rules about an audit of financial statements
which are expected to be applied in Japan to cope with the globalization, such as
about disclosure of information on governance structure of an audit firm, require
accountability to an auditor. Therefore, for auditors in Japan, it is necessary tounderstand the essential characteristics of accountability and the merit and demerit
appropriately.

18

An Expected Role of Internal Audit-Contribution Possibility to Governance Function
by Quality Assessment of Internal AuditKazuo Takeda
Meikai University
Currently, a Large and Public Company in Japan must choose one as agovernance style among a Company with Nominating Committee, etc., which is said
to be in the global governance style, a Company with Audit and Supervisory
Committee or a Company with Board of Company Auditors, that are inherent ofJapan (i.e. local style) . This paper aims to examine what role expected for internal
audit in this situation.
There is no substantial difference between “Internal Auditing Standards of Japan”
and “International Professional Practice Framework” as a global standard.
Substantial equality is a request by the Institute of Internal Auditors(IIA) as a global
standard setter. When Japanese setter(IIA-Japan) revised the standards in 2014, it
paid close attention to meet the demand. Therefore, globalization of standards has
been completed.
On the other hand, as indicated by the CBOK survey by IIA and the Audit White
Paper in Japan by IIA-Japan, external assessments of internal audit, a part of Quality
Assessment, have not progressed in an application due to internal audit being an
option. This is that cannot be globalized.
Recent reforms of the governance in Japan are based on an introduction of an
independent directors as seen in establishment of a company with audit andsupervisory committee, a publication of Japanese Corporate Governance Code, anda change in the listing rules of the Tokyo Stock Exchange. The aim of reforms is“separation of execution and supervision”. In addition, it pointed out that
information provided by internal audit is important for a monitoring organization toaudit and supervise management organizations, regardless of which the company
chooses among three governance styles. Especially independent directors are notalways overseeing managements, so they must pay serious attention to a reliabilityof an audit report of internal audit and to improvement. External assessment will be
useful for improvement.
While internal audit is still a management tool, but it can also be a governancetool by implementing external assessments. This paper argues that this is the role
expected for internal audit.

19

Session 4: Tax Accounting in the Era of Glocalization
The Influence on the Tax Accounting by the Glocalization of theInstitutional Accounting
Makoto Fujii
Nihon University
In Recent institutional accounting, the globalization and localization areprogressing at the same time. I call this “the glocalization of institutional
accounting”. Globalization of accounting standards has caused two problems. First,
the accounting standards are tracking in the multiple ways. Second, it is diverging
from the tax accounting.
Under these circumstances, the guidelines of small and medium-sized accounting
consider convergence with IFRS. On the other hand, in order to suppress thedivergence from tax accounting, the procedure for small and medium-sized accounts
is allowed to be processed under the provisions of the Corporation Tax Law.
From the finance point of view, it appears that there are two aspects of theaccounting standard's glocalization. That is, the difference between raising funds ona global scale and on domestic scale.
In this context, convergence with IFRS means the globalization, while
correspondence with tax law means the localization. This fact shows an uncertain
assumption that the corporate tax law is local. Actually, the glocalization of tax
accounting focuses on the corporation's business activity area. As a result,polarization in corporate accounting has occurred.
However, in the field of tax accounting, it is not such a trend and should not beaffected by it. In tax accounting, not only the clean surplus relationship in a certain
year will collapse, but also this difference will never be dissolved. Ultimately, clean
surplus relationship leads to “Grundsatz der Kongruenz”. Since IFRS does not
perform complete recycling, this principle has collapsed.
In tax accounting where the clean surplus relationship can't be established over
the whole period, “Grundsatz der Kongruenz” is indirectly guaranteed by the anchor
that the balance sheet in tax accounting completely matches the balance sheet incorporate accounting. The important point from the tax accounting standpoint is notwhether the formal net profit is maintained but the net profit based on recycling ismaintained in the individual financial statements.
Interlocking the corporate accounting and the tax accounting contributes to thequality improvement of institutional accounting by the interaction functioning in thesystem of revision or abolition.

20

Influence of the Legal Perspective on Tax Policy and Tax
Accounting in an Age of Glocalization
Ikumi Fukuura
Seinan Gakuin University
The “institution” is not established by the single-line evolutionary historical
viewpoint, but competition and harmony always emerge as those aspects. Therefore,
it crosses on the theory and influence on tax policy. The monograph will discussdifferent understandings of the theory.
This report is an introduction to attempting interdisciplinary research based on
legal perspectives between corporate accounting and tax law in the current
glocalization. It means that it is an interdisciplinary research that contributes to
elucidation of academic disciplines by today's glocalization. The intention is toclarify its institutional significance by presenting the coordinate axes about the rolethat tax accounting sciences has played so far.
In this report, we provide a methodical approach of three types of models as
coordinate axes. First is a model of “administrative type law” based on a viewpointof a national law. Second is model of “autonomous type law” based on a social
viewpoint. Third is model of “universalism type law” based on the principle ofgovernance of Modern Western European law, integrated based on general legal
standards.
In this discussion, we consider not only the three types of space-time dynamics,
but also the relative position in the global research theory, as well as thephenomenon form of tax policy. As a result, we argue that there are variations in theconventional theory.
In other words, these variations teach us about the following points. It is about“legalization”, “non -legalization”, and “anti-legalization” that are typically found in
the “administrative type law” as a hard law and the “autonomous type law” as softlaw.
Institutionalization and institutional complementarity are not only problems of tax
law but also problems of corporate accounting.
In the legal attributes, “legalization”, “non-legalization” and “anti-legalization” of
the “GAAP” which is the concepts of uncertainty law are related to problems suchas new accounting standards in IFRS on business accounting.
It will be necessary to reaffirm that the necessity of interdisciplinary research isthe domain of tax accounting.

21

Globalization of Tax Accounting and Corporate Behaviors-From the Japanese Evidence about the Taxation System of
Received DividendHiroshi Ohnuma
Tokyo University of Science
Since domestic tax system is profoundly determined on the domestic fiscal
situation and global financial situations have an impact on the international
accounting standards, both sides of effect hold a severe influence on tax accounting.
The objective of this paper is to investigate the influence of system change
enforced in 2009 of the dividend received from foreign subsidiaries on corporate
behaviors. This system change allows Japanese firms to exclude their dividend
income which they accepted from their foreign subsidiaries from their taxable
income. Foreign subsidiaries whose ratio of shares the parent companies invest ismore than 25% and the period the parent company hold their equity is more than 6months are subjected to this system. And 95% of dividend the foreign subsidiaries
pay is tax deductible. That is, it is possible to easily inflow the retained income into
the country from overseas after this law comes into force. I study the effect of thisrecent system change on corporate behavior, including dividend payout, sales
promotion, executive compensation, research and development (R&D) investment,
postretirement benefit payment.
In this paper, I provide evidence of decrease of dividends received paid by morethan three thousand foreign subsidiaries to their parent companies after this systemchange become effective. To examine this phenomenon, I employ adifference-in-differences approach in which I compare the amount of dividend
received of parent firm before and after the onset of the system change as a functionof their cash constraints and oversea operations. Simultaneously, I compare thedifferences in amount of dividend received between the treatment and control groups,
controlling for firm fixed effects and observable measures of received dividends.
Furthermore, I find this system change about received dividends produces otherdiminishes in corporate behaviors which reflect the long-range investment effect,
such as R&D investment.
I suppose these results reveal the impact of financial crisis in 2008 and 2011
Thailand floods on the business behavior in multinational companies. Still, thisstudy shows a mixed result, therefore it is necessary for an additional research.

22

Session 5: Local Government Accounting in the Era of
Glocalization -Discussion for the Setting of JPSASThe Importance of JPSAS for Japanese Local Government
Hiroshi Yoshimi
Hokkaido University
In Japan, no accounting standards for local government had been existed.
Basically Japanese local governments controlled by Local Government Act whichprescribe cash basis accounting and single entry bookkeeping. It means Japanese
local governments need not to prepare financial statements like balance sheet.
Since early 1990s, however, Japanese local governments tried to introduce
private sector’s accounting idea including accrual based accounting and double entry
bookkeeping like US, UK, Australia and New Zealand. At that time, local
governments prepare their own financial statements according to their original
concept, so this leads the lack of comparability of financial statements of Japanese
local governments. For example, Tokyo Metropolitan Government issue“Accounting Standard for Tokyo Metropolitan Government” in 2006 and invite toother local governments to adopt this Tokyo type accounting standard.
Facing with these situation, the Ministry of Internal Affairs and Communications(MIC) set up research committee and they issue research papers including
accounting standards for local governments.
In 2015, MIC and its research committee issue “Uniform Standard” and request
all local governments to adopt this new standard to prepare their financial
information. Uniform Standard is considered to be a milestone of current Japanese
government accounting standard. However, Unified Standard does not follow
IPSAS in several points, because it intend to internal use purpose not externalreporting purpose for various stakeholders. It means it is still not the JPSAS(Japanese Public Sector Accounting Standards). For adequate external reporting
purpose, JPSAS which follow IPSAS (International Public Sector AccountingStandards) will be needed.

23

Trend of IPSAS and Implication for Japan’s Local Government
Accounting
Kenji Izawa
Ernst & Young ShinNihon
In this paper as a board member of IPSASB (the International Public Sector
Accounting Standards Board) I indicate the trend of IPSAS (International Public
Sector Accounting Standards) and oversee the implication for Japan’s local
government accounting. IPSAS is the international accounting standards applicableto the general purpose financial reports (“GPFRs”) of public sector entities. I pointout the three characteristics of the conceptual framework for general purpose
financial reporting by public sector entities developed by IPSASB (“the Conceptual
Framework”) that is, i ; the objectives and users of general purpose financial
reporting, ii : the elements of financial statements, iii : the measurements of assets
and liabilities in financial statements, in the comparison with Japan’s local
government accounting.
Firstly, in the Conceptual Framework, the objective of financial reporting are toprovide information about the entities that is useful to users of GPFRs foraccountability purposes and for decision-making purposes, and GPFRs of public
sector entities are developed primarily to respond to the information needs of service
recipients and resource providers. To respond to the information needs of users, theConceptual Framework reflects a scope for financial reporting that is morecomprehensive than that encompassed by financial statements. On the other hand,
Japan’s local government accounting standards don’t refer to other information thanfinancial statements.
Secondly, the IPSASB outlines the approach to models of financial performanceto the reported in the financial statements, mixing the assets and liability-led
approach and the revenue and expense-led approach. In some circumstances, toensure that the financial statements provide information that is useful for ameaningful assessment of the financial performance and financial position, the
IPSAS may require or allow resources or obligations to be recognized as otherresources and other obligations, which are items additional to the six elements
defined in the Conceptual Framework. On the other hand, Japan’s local government
accounting standards emphasize the importance of increase and decrease of net
assets to assess the financial performance of the public sector entities.
Finally, although the Conceptual Framework proposes the measurement objective
which assists prepares of financial statements in selecting measurement bases for
assets and liabilities, Japan local government accounting standards don’t.

24

The Use of New Public Sector Financial Statements andPerformance Management in Japanese Local Government
Takami Matsuo
Kobe university
My presentation tried to examine the use of the performance management
information based on a new public-sector accounting standard from a viewpoint ofmanagement control.
The Ministry of Internal Affairs and Communications (MIC) released the "newpublic-sector accounting standard" in 2014, and emphasized an importance of theusing the segment (by the program or project) financial information for internal use(for management purposes). However, the implementation of segment financial
statements has not to be mandatory, it has been dependent on local governments. As
a result, according to the survey of the JAA investigating committee of 2016, thelocal government, which has already implemented or decided the implementation of
the segment statements was only 10.5% of Japanese local government. And about
60% is investigating the implementation now.
On the other hand, Tokyo prefecture has implemented an original accrual based
accounting standard in 2005, and prepared segment financial statements and has
considered the use of information for management. The general segment statement
consists of some dozens of department statements and two hundred and some dozens
of project statements. The 12 local governments have implemented the same systemby 2016, and they are utilizing the statements for a decision making of a public
facility investment, an outsourcing of public service delivery, or a consensus
building.
According to my survey of the performance management information use ofJapanese local government in 2015, they use it for the operational use purpose, theinteractive use purpose, and strategic use purpose. In these purposes, the project
segment information is important. The financial condition of Japanese local
government is relatively sound and the pressure of the accountability from bondholders is weak in Japan. Japanese local government tends to pay more attention to
the project management for improving efficiency and effectiveness. I suggested it isnecessary for Japanese local government to focus on the use for various performance
management purposes and consider the necessity of the preparation of segment
statements.

25

2016 Annual Conference of JAA
Special Committee
Comprehensive Research on Strategic Management andManagement Accounting(Interim Report)
Chair: Masanobu Kosuga
Kwansei Gakuin University
This committee 2015-2017 seeks to investigate and enhance understanding of thestrategic management in Japanese firms. The research includes quotes from CEO,CFO, and other professionals working in business about their experience in thestrategic management processes within Japanese enterprises. The purpose of thecommittee is to elucidate the following issues:
1. The contents, process, and context of the strategic management in Japanesefirms.
2. The extent to which management accounting system and/or management
accounting information are utilized to support strategic decision making andthe strategic management process within Japanese firms.
3. The most common aspects of strategic decision making where management
accounting is seen to make significant contributions.
4. The management accounting concepts, tools, and systems that are used by theJapanese firms in a strategic context.
5. The extent to which it is possible to define the basic concepts, theoreticalframework, and tools of management accounting in support of the strategic
management process within a wider definitions of Japanese management
accounting.
The interim report of this committee consists of twelve chapters. They are as
follows:
Chapter 1: Management accounting for strategic management in Japan
Chapter 2: Theoretical framework of this research
Chapter 3: Creating values and several stakeholders in Japanese enterprises
Chapter 4: Midterm business planning in Japanese firms
Chapter 5: Capital Budgeting in Japanese corporations
Chapter 6: R&D and several strategies developing new products
Chapter 7: Strategic management of advertising costs in Japan
Chapter 8: Brand management in Japanese firms

26

Chapter 9: Globalization of Japanese business and management control
systems for foreign subsidiary companies
Chapter 10: Global strategy and performance evaluation system
Chapter 11: Strategic management in globalization and investment decision ofIT
In general, normative contributions of management accounting for strategic
management such as strategic management accounting (SMA) and/or strategic costmanagement (SCM) often suggest several templates for management accounting
practices in support of strategic management. For example, competitor analysis,value chain analysis for competitive advantage, strategic investment appraisal,accounting for marketing management, target costing, quality cost management,
life-cycle costing, activity based costing (ABC), activity based management (ABM),
balanced scorecard (BSC) are main tools for strategic management. They have been
put forward as strategic tools to be used by accountants. It has been suggested that
accountants should take more proactive roles in the strategic management process.
One of the objectives of this research is to identify the extent to which this has
happened in Japanese firms.

Chair:
Masanobu Kosuga (Kwansei Gakuin University)
Members:
Takashi Arae (Nihon University)
Akihiko Uchiyama (Chiba University)
Hiroto Kataoka (Meiji University)
Hiroyuki Nakamura (Yokohama National University)
Shogo Kimura (Nagoya University)
Tomoaki Sonoda (Keio University)
Asako Kimura (Kansai University)
Masahiko Sakai (Otaru University of Commerce)
Masaru Nakagawa (Doshisha University)
Yoko Asakura (Kansai Gaidai University)
Shuji Mizoguchi (Yokohama National University)27

Special Committee
Theory, System and Utilization Practice of
New Local Public Sector Accounting(Final Report)
Chair: Hisashi Yamaura
Meiji University
Public sector accounting reforms at local governments are currently being
implemented. The characteristics of the reforms are: (1) making the public sector
accounting standards that have a certain degree of consistency with the International
Public Sector Accounting Standards (IPSAS) common standards for all local
governments and (2) that the preparation and publication of financial documents
should be carried out upon directly linking asset and liability statements, such as
fixed asset ledgers, with a public sector accounting system that has adopted the
double-entry system.
Through a ministerial notice, the Ministry of Internal Affairs andCommunications, which leads the reforms, required all local governments to change
their accounting system to this new public sector accounting system over a period of
three years from 2015, in principle. As a result, the reforms saw a dramatic progress,
which has led us to move from a phase of understanding the process of the reforms
to a phase of examining specific ways of practice and utilization with an eye to the
future after the reforms.
The research objective of the Special Committee is to focus on this new local
public sector accounting system and study its theoretical structure and purpose, theapplication status and practical issues of the system at local governments, theutilization situation of the system in the management of local governments, and theideal form of local public sector audit, which will become an issue after the new
system is introduced.
The Special Committee has set the following six research targets, toward which it
has conducted studies through 12 committee meetings held since September 2014.
(1) To study the basic theory of local public sector accounting(2) To study the theory and practice concerning the relationship between the new
public sector accounting system and budgeting/budget control(3) To conduct comparative studies of the new public sector accounting system
and international public sector accounting systems(4) To conduct factual surveys of the introduction of the new accounting system28

(5) To conduct case studies of the utilization of the new accounting system(6) To study the way the local public sector audit should be under the new public
sector accounting system
These studies have received grants for Foundation Research (B) (representative of
the research: Hisashi Yamaura; period: three years; proposal number: 15H03400) of
the FY2015 Grants-in-Aid for Scientific Research of the Japan Society of thePromotion of Science. The grants have mainly been used in international
comparative studies, case studies, and factual surveys.
With regard to the factual surveys on the introduction of the new public sector
accounting system in particular, we carried out a questionnaire survey of all local
governments (1,788) and obtained valid replies from more than 1,100 organizations(61.7%). This report only includes the result of a simple aggregation, while analysesof the replies and understanding of the actual condition through field surveys are
positioned as future issues of the study, which is to be completed by the end of theresearch period of the grant.
Furthermore, since we not only intend to apply the achievements of the studies tothe future research of local public sector accounting but also consider applying themto the improvement of accountability as well as the soundness and efficiency ofadministration and public finance of local governments, we are creating a databaseof case study information on the utilization of the new accounting system inparticular, and developing an environment that enables its open use.

Chair:
Hisashi Yamaura (Meiji University)
Members:
Nobuo Azuma (Board of Audit of Japan)
Kazutoshi Ishii (The Japanese Institute of Certified Public Accountants)
Keiko Ishikawa (Nihon University)
Toshie Ishizu (Meiji University)
Naohide Endo (University of Fukuchiyama)
Shigeo Ohtsuka (Chiba University)
Eliya Onoe (Ohara Graduate School of Accounting)Takafumi Kanemura (Meiji University)
Shinya Saito (Yokohama National University)
Ayako Sato (Toyama University of International Studies)
Toru Sato (Japan Productivity Center)Yutaka Suzuki (Aoyamagakuin Uinversity)
Osamu Furusho (Nihon University)
Kenshi Hayashi (City of Yokohama)29

Takami Matsuo (Kobe University)
Kozo Yamaguchi (Meisei University)
Kiyoshi Yamamoto (University of Tokyo)
Risa Yoshimoto (Aichi University)

30

2015 Annual Conference of JAA
Study GroupThe Impact of Integrated Reporting on Management Accounting(Interim Report)
Chair: Yoshihiro Ito
Waseda University
In this research, while considering the viewpoint of management accounting, we
examined the multifaceted impact of integrated reporting on corporate accounting
beyond the boundaries of accounting domain, and the direction in which accounting
research should proceed in the future. The study group recognizes that integrated
reporting has the potential to prompt a major change in the social role of theaccounting system. Through this research, we would like to identify the trends inaccounting research over the next several decades. In the interim report, we
conducted research on the following themes to achieve our research objectives.
1. The impact of integrated reporting on management accounting research andpractice
2. The case study on the impact of integrated reporting on company practice
3. Integrated reporting as a management strategy
4. Preliminary survey on mandatory CSR reporting in Taiwan
5. Voluntary disclosure of negative information in integrated reporting
6. Assurance in integrated reporting
Through the above research, we were able to partially clarify the issues involvedin the disclosure of integrated reports and mandatory integration reporting. At thestage of the interim report, although we were able to achieve certain results, we mustsay that both studies are still in progress. For the final report, we recognized thefollowing issues as urgent.
First, the various drivers that determine corporate value must be clarified. If
companies can efficiently disclose these drivers through integrated reporting,stakeholders obtain necessary information to evaluate corporate value. Therefore, wewill continue research on the model for that.
Second, from the point of view of management accounting, it is important to
explore the way to appropriately educate stakeholders on the organic relevance of
non-financial and financial information, as well as on the process of creating suchinformation.
Since research on such viewpoints is rarely found in previous studies, we regard
31this theme as a top priority research topic. Furthermore, we believe it is impossible
to systematically integrate non-financial and financial information without amanagement accounting approach. In this regard, we have proposed the use of CSR
scorecard and sustainability scorecards based on the balanced scorecard approach,and have been searching for a concrete and practical framework. In the future, we
intend to further examine the theme of integrated reporting for robust development.
We believe that it is necessary to conduct a survey to analyze the current situation of
integrated reporting both in Japan and overseas, and we have started to investigate
companies that have already published the integrated report.
In the future, we will also study the impact of integrated reporting on not only
capital providers but also members within the organization. The effect of integrated
reporting on the organization’s management control is hardly known. To clarify thispoint, we will conduct research using both quantitative research based onquestionnaire survey data and qualitative research such as a case study. Furthermore,
we will empirically analyze the stock market reaction to first disclosed companies
and the stock price relevance of the quality of the published integrated report.
Through these studies, we will determine whether integrated reporting is an
important theme that has the potential to transform the role of the accounting systemor just a discussion attributable to a transient boom. In the final report, we will
clarify from both theory and demonstration the influence of integrated reporting on
management accounting practice of enterprises and the relationship between
integrated reporting and management accounting based on the results of thequestionnaire survey and case study.

Chair:
Yoshihiro Ito (Waseda University)
Members:
Hiroshi Obata (Hitotsubashi University)
Akira Omori (Yokohama National University)
Tomoki Oshika (Waseda University)
Haruo Hara (Sapporo Gakuin University)
Takehiro Metoki (Musashi University)
Aki Yamauchi (Waseda University)
Koji Yamamoto (Osaka Prefecture University)
Eri Yokota (Keio University)

32

Study Group
Expansion of Disclosed Information and the Diversification of Audit
Framework(Interim Report)
Chair: Yoshinao Matsumoto
Kansai University
Research purpose:
The 2014 Revised Audit Standard by the Business Accounting Council andpractice guidelines by the Japanese Institute of Certified Public Accountants
introduced the framework of multiple audit opinions and various audit subjects. In
this research, we consider an influence of the revised Standard's purpose andcontents on an audit theory and practice in the light of international and time series
aspects. Besides, based on such revision, we study what kind of future expansion of
disclosed information by companies. We finally present the institutional possibilityof the reliable disclosure system that there should be in future our country.
Research summary (interim report):
The revised Audit Standard acknowledged an assurance of the reliability by audit
services on a single financial statement and a specific item of financial statement inaddition to a complete set of financial statements. Prior to Japanese Audit Standard
revision, the International Audit and Assurance Standards Board (IAASB)
introduced the International Standard on Auditing (ISA) 800 “Special
Considerations – Audits of Financial Statements Prepared in Accordance with
Special Purpose Frameworks” and 805 “Special Considerations – Audits of Single
Financial Statements and Specific Elements, Accounts or Items of A Financial
Statement” since the accounting year beginning of December 15, 2009. Thesestandards approved the diversification of audit subjects and the multiple applicationof the audit opinion framework in the foreign countries. Until such standards, anaudit was conducted for the complete set of financial statements and auditors
expressed a conclusion about the fairness.
However, the conformity style and the fairness style were recognized among theframework of audit opinion in Japan. The auditor came to be able to audit financial
statements, a financial statement, and a financial statement item prepared inaccordance with either of special purpose or general purpose accounting standards
as audit subjects.
Furthermore, this combination of accounting standards and audit subjects brings
the multiple financial information and the various audit framework. The special
33

purpose accounting standards are the standards that adapted to a special use to fulfill
the needs of the specific user. And it contains as an example, the standard whichassumed a specific limited use for a financing or an acquisition. We usually call suchfinancial statements based on the special purpose standard “special purpose financial
statements.”
On the other hand, the general-purpose accounting standards are standards madewith a multi-purpose. It is a generic term of the accounting standards for
multi-purpose and common use that were established in order to be used for thedecision making by the unspecified number of extensive user, particularly thegeneral investor in the stock market. We call such financial statements prepared inaccordance with such standard “general purpose financial statements.” As a result,general purpose and special purpose accounting standards are accepted as anauditor's audit criterion.
What kind of accounting standards should be applied at preparing financial
information is decided in a conclusion of contract such as the funding by theagreement between trustor and trustee. Therefore, in the phase of the audit
engagement, the auditor must consider whether accounting standards chosen areproper as a criterion in the audits.
Our interim report proves how foreign countries, which already introduced special
purpose financial audit/ attestation, institutionalize the framework of audit/
attestation services and the contents of financial information which should be
audited.

Chair:
Yoshinao Matsumoto (Kansai University)
Members:
Nobuhiro Asano (Osaka City University),
Sugako Ijima (Kurume University)
Yoshiaki Ozawa (St. Andrew’s University),
Naoki Kasai (Shiga University)
Akinobu Shuto (University of Tokyo),
Takatoshi Hayashi (Kwansei Gakuin University)
Hidenori Horiko (Kwansei Gakuin University),
Yoshihiro Machida (Aoyama Gakuin University)
Observers:
Tomomi Takada (Kobe University)

34

Study Group
Current Status and Issues of Female Accounting Researchersin Japan(Final Report)
Chair: Keiko Kitamura
Chuo University
This study aims to review and analyze the situation and problems faced by female
accounting researchers in Japan, in terms of the history of accounting research orcomparisons with other accounting associations in Japan and abroad.
The final report of this study group consisted of the following:I
II

Purposes, Methodology, and Style
Current State of Female Researchers in Japan: Survey from four points of view:(a) working conditions, (b) research environment, (c) participation in leadershipand social contribution, and (d) family life.
III Female Accounting Researchers in the Japan Accounting Association (JAA)
IV Female Accounting Researchers in the World: Survey of 17 countries and areas
other than Japan, via interviews with and/or e-mails to accounting researchers,
and/or survey of the websites of major accounting associations and leading
universities.
Appendix: Academic Research Related to Overseas Female Accountants
V Historical Research: Survey of four pioneering female accounting researchers:
Prof. Nobuko Nosse, Prof. Yuriko Mano, Prof. Eiko Yamaura, and Prof. Misako
Nakagawa. Their biographies, research achievements, and interview studies
are included.
VI Empirical Research (1): The first questionnaire-based survey of female JAA
members.
VII Empirical Research (2): The second questionnaire-based survey of all JAA
Members. Analyses from research goals, study abroad experience, method,
theme, and funds.
VIII Theoretical Research: Characteristics of the representative writings of female
accounting researchers from eight fields of study: financial accounting,management accounting, auditing, environmental accounting, governmental
accounting, tax accounting, and accounting history.
Below is a summary of the main suggestions from selected chapters in the final
report.
35

In Chapter V, we discuss the four pioneering female researchers who have madegreat contributions to our academic society. Furthermore, they have managed tobalance their research, education, and family lives. Their ability to achieve thisbalance is attributed to great mentors, mutual support, and understanding among
peers, and the researchers’ perseverance with their research themes.
In Chapters VI and VII, we discuss how age structure differed between male andfemale researchers. However, there was a small difference in terms of research
aspects. Further, male researchers were more internationally oriented than female
researchers.
In Chapter VIII, we discuss that the representative writings of most female
researchers were published in the bulletin journals of the schools where they were
working. However, publications in other media are also desirable in order to shareresearch results broadly.
In Japan, the distinctions between men and women are discussed even today.
However, this study showed that the differences between female researchers andmale researchers were less than expected. In accounting research, gender-based
differences are few. Therefore, we can greatly exploit this research field, actively
report the findings, and publish the results for a wider audience.

Chair:
Keiko Kitamura (Chuo University)
Members:
Fumiko Hiki (Hitotsubashi University)
Yuko Horie (Meisei University)
Wakako Hyodo (University of Hyogo)
Michiyo Ihara (Takamatsu University)
Asako Kimura (Kansai University)
Kyoko Miyamoto (Kansai University)
Mihoko Nishimura (Meiji Gakuin University)
Yuko Nishimura (Aoyama Gakuin University)
Chika Saka (Kwansei Gakuin University)
Ikuko Sasaki (Tohoku Gakuin University)
Chie Sawanobori (Osaka Sangyo University)
Yuki Tanaka (Hosei University)
Reika Tsumura (Takamatsu University)
Observers:
Keiko Ishikawa (Nihon University)
Chikako Ozu (Kyushu University)
Tomomi Takada (Kobe University)
36Eiko Tsujiyama (Waseda University)
Aki Yamauchi (Waseda University)
Eriko Maruoka (Chuo University)

37

2016 Annual Conference of JAA
International Session

Configurations of Management Control Systems (MCSs) and
Environmental Management Control Systems (EMCS): An
International Comparison of German and Japanese Firms
Takehisa Kajiwara, Kobe University
Thomas Guenther, Technische Universitaet Dresden
Katsuhiko Kokubu, Kobe University
Kimitaka Nishitani, Kobe University

Conservative Management Earnings Forecasts and Forecast
Precision
Suil Pae, Hanyang University
Chang Joon Song, Sungkyunkwan Univesity
Andrew, C. Y., Hanyang University

Is the Option of Early Adoption Always a Choice? Evidence on
IFRS Adoption in Taiwan?
Yu-Lin Hsu, National Cheng Kung University
Gavin C. Reid, Abertay University and University of St Andrews

The Effect of Financial Statement Comparability on Firm Visibility
and Cost of Capital
Sungyoon Ahn, The Catholic University of Korea
Kwanghee Cho, Dongguk University
Young Soo Choi, Dongguk University
Dong-Hoon Yang, Dongguk University

Does Corporate Governance Mechanism Restrain Accounting
Fraud? Evidence from Japan
Masumi Nakashima, Chiba University of Commerce

The Effect of Fair Value Versus Historical Cost Reporting Models
38

on Analyst Behavior
Chunlay Ye, Texas A&M International University
Lin-Hui Yu, National Taiwan University

39

2016 Annual Conference of JAA
Regional Reports

Hokkaido Region
Hiroshi Yoshimi
Hokkaido University
The regional meetings were held in 2016 as follows.
1. The 89th Regional Meeting at Sapporo Gakuin University on 28 May, 2016.
(1) “Capital Investment Evaluation Based on Non-Financial Information,”
Tomonari Shinoda, Hokkaido University.
(2) “Inter-Organizational Problems in Logistics Management Accounting,”
Tadashi Nagaoka, Sapporo Gakuin University.
(3) “Current Issues in Teaching DCF Models,” Satoshi Hatamoto, Otaru
University of Commerce.
2. The 90th Regional Meeting at Sapporo Citizens Hall on 5 November, 2016.
(1) “An Auditor's Choice in the Going Concern Problems: Focusing on the
Meaning of “Material Uncertainty”,” Akira Sakayanagi, Otaru Universityof Commerce.
(2) “Extension of Corporate Information and Financial Accounting Reporting,
Quantity of IR Information and Qualitative Changes: Issues for Users
Satisfaction,” Kohki Hamada, Kushiro Public University of Economics.

40

Tohoku Region
Shuhei Kinugawa
Fukushima University
The regional meetings were held as follows;
1. The 90th Meeting, July 30, 2016 at Fukushima College(1) “The Feature of Management Behavior in Reconstructive Process from theGreat East Japan Earthquake,” Tomoko Okano and Shinsuke Tamura,
Ishinomaki Senshu University.
Discussant: Akihiro Nedate, Fukushima University.
(2) “Economic Evaluations of Local Specialties,” Shuko Naito, Hirosaki
University.
Discussant: Tomoko Okano, Ishinomaki Senshu University.
(3) “On Discounting of Deferred Tax Liabilities,” Shuhei Kinugawa,
Fukushima University.
Discussant: Kazuki Ikushima, Iwate Prefectural University.
(4) “Accounting Issues on Personnel Expenses,” Tomohisa Hirano, Fukushima
University.
Discussant: Masateru Narikawa, Tohoku Institute of Technology.
2. The 91th Meeting, November 19, 2016 at Iwate Prefectural University(1) “A study on the Principles-Based Approach in the U.S: A Focus on the
Political Discussion Processes,” Tomohiro Abe, National Institute ofTechnology, Fukushima College.
Discussant: Shuhei Kinugawa, Fukushima University.
(2) “A study on Revenue Recognition Criteria: On Construction Revenues,”
Masateru Narikawa, Tohoku Institute of Technology.
Discussant: Kazuki Ikushima, Iwate Prefectural University.

41

Kanto Region
Yasuyoshi Kurokawa
Senshu University

The 64rd Kanto regional meeting was held at Senshu University , Kanda campus
on December 10, 2016. The main theme of the meeting was “Accounting problems
in M&As.”
The program of the meeting was as follows.
Chairperson: Masato Kikuya, Hosei University
Panel Discussion:
1. Hidetsugu Umehara, Meiji University
Accounting for Business Combinations under Japanese GAAP: A Theoretical
Perspective
2. Mikihito Jinnou, Niigata University
Historical Study on the Accounting for Consolidated Goodwill at Acquisition
3. Tomohiro Kaneko, Toyo University
A Study of Business Combination from the Viewpoint of Corporation Tax
4. Masashi Okumura, Waseda University
A Survey of Empirical Research on the Value Relevance of Goodwill
Amortization
5. Koji Oyanagi, Senshu University
A Consideration on the Change of Financial Structure by Mergers andAcquisitions

42

Chubu Region
Norimasa Ito
Aichi-Gakuin University
The regional meetings were held as follows;
1. The 137th Regional Meeting at Tokai-Gakuen University on July 9, 2016.
(1) “Does Recycling Improve Information Usefulness of Other Comprehensive
Income?: Case of Japan,” Frendy and Hu Dan Semba, Nagoya University,
Graduate School of Economics and Nagoya University.
Commentator: Motohiro Tazawa, Meijo University.
(2) “The Effects of Changes in Scope of Consolidation on Financial
Information by Adoption of IFRS,” Tomohiro Noguchi, Tokai-Gakuen
University.
Commentator: Satoru Nishiumi, Aichi-Gakuin University.
(3) “Sophistication of "Independent Auditor" and Formation of GAAP,”
Kazumasa Takemori, Chubu University.
Commentator: Michimasa Satoh, Aichi-Gakuin University.
2. The 138th Regional Meeting at Aichi-Gakuin University on December 3, 2016.
Chairperson: Masataka Hiraga, Aichi-Gakuin University.
(1) “The Effect of Comment Letters in the Due Process of IASB,” Shigeho
Nakayama, Aichi-Gakuin University.
(2) “Accounting Information Systems: Present and the Future,” Shinya Okuda,
Nagoya City University.
(3) “Factors Affecting Judgments of Japanese Auditors: Pressures, Commitment,
and Personality,” Noriyuki Tsunogaya, Nagoya University.
(4) “A Study of Audit of the Statement of Comprehensive Income in Japan:
From the Viewpoint of a Practitioner,” Koji Otani, KPMG AZSA LLC.

43

Kansai Region
Makoto Yori
University of Hyogo
The 66th Kansai regional meeting was held at University of Hyogo on March 18,
2017. The main theme of the meeting is “The Accounting Problems Concerning the
Globalization.”
The program of the meeting is as follows.
1. Presentation in the morning(1) “A Managerial Incentive to Recognize and Disclose Restructuring Efforts,”
Masatoshi Kurusu, University of Marketing and distribution Sciences.
(2) “A Preliminary Empirical Analysis of the Use of Management Control
Systems and their Effect in Japanese Prefectural Governments,” Tsuyoshi
Sato, Fukuyama Heisei University.
(3) “Roles and Responsibilities of the External Professional Auditor under the
Financial Instruments and Exchange Act－Necessity to comply with Article
193-3 of the Financial Instruments and Exchange Act－,” Takumi Adachi,
Prefectural University of Hiroshima.
2. Panel Discussion
Moderator: Masahiko Hayashi, University of Hyogo.
“Concept Arrangement about Globalization of Accounting Standards from the
Global Sociology's Perspective,”
Sadako Inoue, University of Marketing and Distribution Sciences.
“Has Corporate Control of Japanese Overseas Subsidiaries Changed?”
Satoko Matsugi, Tezukayama University.
“Globalization of audit systems,”
Hiroshi Taki, Ritsumeikan University.

44

Kyushu Region
Keiichi Oishi
Kyushu University
The Japanese Accounting Association (JAA) Kyushu regional conferences are
regularly held twice a year – in July and March. This academic year, the summer
conference was held at Kurume University, and the early spring conference was heldat Nagasaki University.
1. The 98th meeting at Kurume University, on 23rd July, 2016.
(1) “Earnings Management Using Classification Shifting of Special Items”, Shu
Inoue, Fukuoka University.
(2) “A Study on the Conceptual Framework of the International AccountingStandards Board: from the Perspective of the Achieved Level and its
Problems of the IASB's Exposure Draft”, Shuzo Hino, Nakamura Gakuen
University.
(3) “A Teaching for Better Understanding of Significance on Bookkeeping”,
Eiichiro Kudo, Seinan Gakuin University.
2. The 99th meeting at Nagasaki University, on 18th March, 2017.
(1) “An International Comparison of Public Entity Financial Condition: A
Statistical Study on Financial Statement Analysis of Japanese Local
Government and U.S. States”, Kentaro Haraguchi, Doctoral Course,
Graduate School of Economics, Kyushu University.
(2) “Does IFRS No,15 Fall under the Standards of Accounting Treatment
Generally Accepted as Fair and Reasonable Prescribed in Article 22 (4) of
the Corporation Tax Law Provides?”, Ichiro Iwatake, Kumamoto Gakuen
University.
(3) “A Study on the Controversy over Depreciation vs Impairment of Goodwill”,
Hisashi Taga, Ryukyu University.
(4) “French Financial Accounting Studies in Japan: Motivation, Discussion
and Issues Raised by Early Researchers”, Chikako Ozu, Kyushu University.

45