Question 1 – 750 words
Deegan (2014, p. 171) cites Chambers (1966) as arguing that historical cost information suffers from problems of relevance in times of rising prices. Explain what is meant by this statement. Evaluate whether any of the alternatives to historical cost provide information which is of greater relevance to users of accounting.
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Question 2 – 750 words
Deegan (2014, p. 258) argues that conceptual frameworks have been used as devices to help
Charles Sturt University Subject Outline ACC518 201930 S I Version 3 – Published 08 March 2019
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ensure the ongoing existence of the accounting profession by ‘boosting’ their public standing. Explain what is meant by this statement. Do you think conceptual frameworks have been developed to ‘boost’ the public standing of the profession, or do you think they serve another purpose? Justify your position.
Question 3 – 750 words
The IASB conceptual framework (2014) does not provide any detailed prescriptions on the issue of measurement. In recent years however, accounting standards have shifted away from the use of historical costs in favour of fair values. Why do you think this shift has been happening? Why do you think that conceptual frameworks are yet to clearly stipulate an alternative to historical costs, such as fair values? Get Accounting homework help today
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