Inconsistent Statements on Accounting Principles
The following two statements have been taken directly or with some modification from the accounting literature. Each of them is either taken out of context, involves circular reasoning, and/or contains one or more fallacies, half-truths, erroneous comments, conclusions, or inconsistencies (internally or with generally accepted principles or practices).
Statement 1 Accounting is a service activity. Its function is to provide quantitative financial information that is intended to be useful in making economic decisions about and for companies. Thus, the accounting function might be viewed primarily as being a tool or device for providing quantitative financial information to management to facilitate decision making.
Statement 2 Financial statements that were developed in accordance with generally accepted accounting principles should be conservative.
Required:
Evaluate each of the preceding numbered statements as follows:
Financial And Managerial Accounting
College Accounting, Chapters 1-27
Accounting Information Systems
Managerial Accounting: The Cornerstone of Business Decision-Making
Financial Accounting
Corporate Financial Accounting
Financial & Managerial Accounting
Principles of Economics (MindTap Course List)
ECON: MICRO4 (New, Engaging Titles from 4LTR Press)
STATISTICS F/BUSINESS+ECONOMICS-TEXT
Principles of Microeconomics (MindTap Course List)
Essentials of Economics (MindTap Course List)
Fundamentals of Financial Management (MindTap Course List)
Principles of Macroeconomics (MindTap Course List)
Brief Principles of Macroeconomics (MindTap Course List)
Fundamentals of Financial Management, Concise Edition (MindTap Course List)
MKTG 12:STUDENT ED.-TEXT
Contemporary Marketing
Accounting Information Systems
Foundations of Business (MindTap Course List)
Management, Loose-Leaf Version
Essentials of Business Communication (MindTap Course List)
Financial Accounting
Financial & Managerial Accounting
College Accounting (Book Only): A Career Approach
College Accounting (Book Only): A Career Approach
Accounting (Text Only)
College Accounting, Chapters 1-27 (New in Accounting from Heintz and Parry)
Exploring Economics
Principles of Macroeconomics (MindTap Course List)
Fundamentals of Financial Management, Concise Edition (with Thomson ONE - Business School Edition, 1 term (6 months) Printed Access Card) (MindTap Course List)
Statistics for Business & Economics, Revised (MindTap Course List)
Fundamentals of Financial Management (MindTap Course List)
Pkg Acc Infor Systems MS VISIO CD
Corporate Financial Accounting
Survey of Accounting (Accounting I)
PAYROLL ACCT.,2019 ED.(LL)-TEXT
Macroeconomics
Microeconomics
Practical Management Science
Economics For Today
Economics (MindTap Course List)
Purchasing and Supply Chain Management
Cornerstones of Cost Management (Cornerstones Series)
Cornerstones of Financial Accounting
Managerial Accounting
Principles of Microeconomics
Macroeconomics: Private and Public Choice (MindTap Course List)
MACROECONOMICS FOR TODAY
Economics: Private and Public Choice (MindTap Course List)
Micro Economics For Today
Understanding Management (MindTap Course List)
Microeconomics: Private and Public Choice (MindTap Course List)