According to Cleverly, Song, & Cleverly (2010), there are five generally accepted accounting guidelines or principles that are related to accounting for health, namely money measurement, valuation, duality principle, stable monetary unit, and accounting entity. In this paper a discussion will be made on these five generally accepted accounting principles related to health care. Money Measurement Money measurement principle calls for effective recording of all cash flows and revenues that are coming to the organization as well those leaving the organization. Money measurement refers to the measurement of debt obligations and revenue resources accurately so that there is no discrepancy in the accounts of the health care institute. The intent behind this accounting principle is to secure and measure all the incoming and outgoing cash flows of a firm. It is essential to measure the movement of money inside and outside the organization because it is the most basic building block of accounting. This particular accounting principle is related to health care field as the flow of money in a heath care facility is quite fluid and money changes hand quickly in the health care industry. ...Show more
Running Heading: Generally Accepted Accounting Principles Paper Generally Accepted Accounting Principles Paper Customer Name University Name Introduction In today’s world, accounting for health care has become increasingly important. Health care institutions are different from other conventional businesses and therefore their accounting is quite different from the accounting of other businesses…
The International Financial Reporting Standards (IFRS) are a set of guidelines that are sued to guide accountants and financial professionals in preparation and reporting financial information. This paper will discuss the IFRS in terms of its basic information; by discussing its foundation, and how it was formed.
36-38). Many experts have tried their best to defend this system, however, other have criticized it strongly. Furthermore, the current financial recession has ignited this debate to great limits. In fact, there have been some amendments in the current Fair Value Accounting, however, the essence of it remains the same, and the debate goes on.
The standards define who is qualified to perform an audit engagement and the need for adequate technical training and proficiency, which promotes professional care in the engagement of audit. Much emphasis have been placed on auditing standards especially in the 21st century that has been characterized by increased high profile corporate scandals resulting from unregulated auditing.
In the view of Turgeon, Rabinowitz, and Wong (2008), IFRS conversion causes a change in book and tax accounting methods which will have a direct effect on the company’s income tax reporting, cash taxes payable, and tax compliance.
The example of corporate accounting scandals that occurred over the years have been analyzed to find the impacts of unethical accounting practices in such cases. This helped to explain the importance of ethical accounting practices in the companies. The accountability of the accountants and auditors in providing true financial disclosures for protection of the investors has been emphasized in this research.
It can well be argued that there is nothing new about “International Accounting”; indeed accounting has always been international. It has been international from the time it was originated.
International accounting can be
The Governmental Accounting Standards Board is a board that governs and monitors the progress of the standards and their drafting. It also resolves the issues that are relating to the accounting standards.
The Governmental Accounting Standards