Page 314 - Ebook HTKH 2024

Green accounting has been mentioned a lot recently, but it is still new for some
businesses because managers are unaware of the interaction between business goals and

environmental protection. The concept of green accounting and green finance is still
very strange to most businesses in Hanoi. Green transformation and application of green
accounting practices have only been implemented in large enterprises and state-
owned companies or companies with foreign investment. Meanwhile, green accounting
and environmental accounting have only recently been mentioned, and accounting
training programs have not focused on green accounting practices at businesses.
Legal regulations
In Vietnam, there are regulations on environmental accounting but they are not

detailed and specific. Therefore, the cost of monitoring and separating environment-
related costs in production and business activities is still limited, and each business
understands and interprets differently, making it difficult. Currently, the regulations on
recording environmental information on the system of vouchers, books and reports are
not clear. Environment-related expenses and income have not yet been accounted for,
environmental costs are largely included in management costs, so managers do not have

sufficient data when analyzing information on environmental costs. Regulations related
to presenting information on environmental costs in financial statements are incomplete.
4.3. Factors affecting the application of green accounting in enterprises in
Hanoi
Based on the results of collecting and analyzing relevant studies and published
documents, the authors suggest some basic factors that directly affect the process of
applying green accounting practices in Hanoi.

Financial capacity of enterprises
Applying green accounting requires businesses to invest in technology and people,
which is also an important issue for businesses in the area, where the majority of
businesses are small and medium-sized. The lack of finance, management experience,
and professional personnel are barriers to the implementation of green accounting
practices at enterprises. The application of green accounting not only requires businesses

to have resources to improve technology in a modern direction but also needs accounting
personnel who understand environmental accounting, which requires businesses to hire
experts or have finance for training and recruiting accounting personnel to meet the
requirements.
Perspectives and perceptions of business managers
Green accounting can only be applied when managers are aware of the role and
importance of recording and providing information related to the business's
environment. Reality shows that many business owners in Hanoi are not aware of their

businesses' responsibility to protect the environment or the risks caused by the impact
of the environment on production and business activities. Many businesses do not want
to apply green accounting practices because they fear that it will increase some

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