No open-access location is known for this record yet.
No open-access location is known for this record yet.
The notion of “future benefits” gives accounting a forward-looking direction and thus it may be argued that the existence of the firm in the future is necessary to the benefit theory. W. A. Paton and A. C. Littleton’s argument is that the going concern concept is necessary to accounting. The change from the venture to the going concern concept is one of the most heralded advancements in accounting. The notion that the going concern concept is necessary for us to account is erroneous. The point is that the disavowal of the venture concept necessitated periodic reporting and accountants (sometimes reluctantly) began to account for variations in value over time instead of waiting for an event. Thus, the going concern is one of the most important concepts in accounting. If the object of accounting is to measure the true income and position of a firm, then the liquidated firm is necessary to accounting.
Loading…
Imported from OpenAlex (CC0) — nothing here is generated.