Accounting Analysis On Accounting Standards

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Introduction This report is mainly focussed on the topic related to Accounting theory concept in general. There are two articles to elucidate, first article is on Accounting Standards & conceptual framework, which is further discussed in detail about the qualitative characteristics of Conceptual framework. Second article is about Positive Accounting Theory, where we discuss about Accounting theories. A) Article One: 1) Australian Accounting Standard Board (AASB) AASB - Australian Accounting Standards Board Body charged with developing a Conceptual Framework for Accounting Practices, making and formulating accounting Standards, and participating in and contributing to the development of a single set of Accounting Standards for worldwide use. 2) Conceptual Framework in Australia In 2005, Australia adopted IFRS and replaced the Australian Conceptual Framework with the IASB Framework. Presently Australia uses IASB Conceptual Framework. “Conceptual Framework, there is no definitive or “absolute” definition of a conceptual framework” (Deegan, 2012). “The Financial Accounting Standards Board (FASB) in the USA defined its conceptual framework as a coherent system if interrelated objectives and fundamentals that is expected to lead to consistent standards” (Deegan, 2012). “It prescribes the nature, function and limits of financial accounting and reporting” (Scholar, 2016). A central goal in establishing a conceptual framework of accounting will be general consensus on:  “The Scope
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