The main purpose of company accounts is stewardship, so accounting standards based on ‘decision-usefulness for investors’ are misconceived. And making the standards compulsory ‘Instructions’ rather than voluntary ‘Suggestions’ causes problems. What are your thoughts on this in relation to International Accounting Standards 1?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Hi! There's a question in our book and I really want to get a grasp of the answer here. Can you give me a concise explanation on a possible answer for this? It doesn't have to be an essay. Just a general explanation of what the question asks for. Thank you!

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The main purpose of company accounts is stewardship, so accounting standards based on ‘decision-usefulness for investors’ are misconceived. And making the standards compulsory ‘Instructions’ rather than voluntary ‘Suggestions’ causes problems. What are your thoughts on this in relation to International Accounting Standards 1? 

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