ACCOUNTING THEORIES

Accounting Theories



Accounting Theories

Accounting theory is very useful for business success in the light of information should be treated like any other product or service, thus ensuring the inclusion of information should remain in force supply and demand. It is assumed that if the organization does not provide such information, the cost of operations increase. This view is based on the assumption that managers act in their own interest, not only in maximizing the wealth of the organization in other parties such as shareholders and debt holders.

From this standpoint, before the application of IAS 1023, executives could report financial ...