The rather large size of this collection allowed us to make conclusive statements on the performance of the proposed technique.
Obviously, the true deficit or the surplus in the statement of financial performance is the difference between the true operating revenues R and the true operating expenses E. Therefore, using a simultaneous-equation model allows us to distinguish through which channel revenues and/or expenses additional depreciation charges eventually affect the (subsequent) financial performance.
When a government implements accrual accounting, instead of cash-based accounting, the statement of financial performance is the most scrutinised component of the financial statements.8 By comparing the operating revenues (R) with the operating expenses (E), its balance (B = R − E) shows whether citizens pay taxes that are equal to the public services they receive.
For any given level of operating revenues, cash-draining operating expenses and true depreciation, AD deteriorate the reported balance of the statement of financial performance: BR = R − (E* + D + AD) where BR refers to the reported balance of the statement of financial performance, i.e. the one published in accounts and marred by AD.
A Toyota statement about the performance of its Lexus models read, in part, "With this new test, the institute has raised the bar again, and we will respond to this challenge as we design new vehicles".
According to Bergmann (2012), the Neue Zürcher Zeitung (NZZ), a leading Swiss political and business newspaper, almost exclusively mentions information on the statement of financial performance when reporting about the financial situation of local governments.
The heterogeneity is also strong in terms of reported and true balances of the statement of financial performance.
The finance minister is all the more likely to do so when he has a legal obligation to balance the statement of financial performance or if he politically commits to lowering the debt.
We also showed that for SWS in assays such as S. typhimurium, mouse lymphoma and in vitro micronucleus, the results provided no clear biologically-relevant positive responses, as opposed to the statement of "poor performance" made by others (Johnson et al., 2009).
