Financial Accounting Theories - Essay Example

Only on StudentShare

Extract of sample
Financial Accounting Theories

..that are taken for granted in current accounting research".
Political Economy Theory (PET) is divisable into two broad streams of thinking. One being the Classical Political Economy Theory, the other, Bourgeois Political Economy Theory. For the purpose of this writing the Classical Approach will be the main focus. Classical Political Economy Theory follows the basic ideas of P.E.T, but goes further in its bid to highlight and scrutinise structural conflicts and inadequacies within society. The followers of the Classical approach are of the strong opinion that within society even in these modern and seemingly liberal times, a class divide is still very apparent. This theory is based around the works of such philosophers as Karl Marx and therefore opposes the very basis of the Capitalist system. In the writing of Howieson (2006) it is stated that "a Classical Political Economy places structural conflict, inequality and the role of the state at the heart of the analysis".
The Critical Perspective is a branch of the Classical Political Economy Theory. ...
Download paper


The perspective taken by those who follow the Political Economy Theory is one which questions the use and value of such disclosures in society. The Political Economy has been defined by Cunningham (2006), as "the social, political and economic framework within which human life takes place." (1) Political Economy Theory, therefore, focuses on the idea that social, economic and political issues all have a bearing on the other and one issue cannot be successfully evaluated with the incorporation of its effects on the other two issues…
Author : jcrooks

Related Essays

Financial Accounting principles
In actual practice, if a business is to be run at profit, it has to sell goods at such a price as will enable it to meet out not only expenses on account of cost of goods sold but also other numerous expenses like rent, salary, cartage, freight, commission , electricity, etc. Thus for making a profit, sales must be kept sufficiently high to meet all the other expenses. To emphasize the necessity of accounting, it can be said that accounting must provide the following information and we should ensure that we completely understand and analyze them:...
7 pages (1757 words) Essay
Financial accounting College Assignment
Such grants can be shown either individually or under a sub-heading which is a heading and is general in nature like "Other income"; or else, they are subtracted in accounting the connected expense....
3 pages (753 words) Assignment
Financial & Management Accounting
It is a way for organisations to be accountable to their stakeholders, but is also a management tool to improve the performance of the organisation....
19 pages (4769 words) Essay
Australian Accounting Philosophies and Theories
Current Australian accounting practices and procedures of proper recording and presentation of the financial position and results of operations aids in the Australian corporations three major responsibilities. The first responsibility is "Within the discourse of CORPORATE RESPONSIBILITY, various concepts are used to express the rights and obligations that corporations have, to those they work with and work for". Also, the second corporate responsibility is "CORPORATE GOVERNANCE is a frequently used term which refers to the policies and practices used to regulate internal relationships and...
7 pages (1757 words) Essay
management accounting and financial accounting
This academic paper discusses as well the elements that allow them to serve a common purpose. Another focus of the study is determining the reason financial accounting is standardizing, while managerial accounting applications are highly variable....
11 pages (2761 words) Essay
Australian financial accounting
This can be very beneficial in the case of the businesses where the managers and the owners of the business are one and the same....
2 pages (502 words) Speech or Presentation
Got a tricky question? Receive an answer from students like you! Try us!