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Relate the concepts, ideas and facts of the article to the following topics;
1. International Accounting Theory
2. The Standard Setting Process
3. Accounting Regulation and Politics
For each theory, outline its major ideas and assumptions and discuss if the article supports or does
not support the major ideas of the theory.
For this task you have to connect the topics and theories that you have understood from your study so far to the article, across the three areas of; international accounting theory, the standard setting process and accounting regulation and politics. Following are suggestions of some areas you may wish to address.
1. International Accounting What are international accounting standards?Why do we have them? What are the potential advantages and disadvantages in relation to the article. How would international accounting standards affect the parties mentioned in the article.
2. Standard Setting Process How are standards made, explain this in relation to the setting of IFRS 6? What political factors are involved, is there evidence of political interference in this setting of IFRS 6.
3. Accounting Regulation and Politics Why do we have regulation, why would this area of accounting be regulated?What would happen if it were not regulated?. How and why are attempts made to influence the regulation process?Discuss the theories of regulation and whose interests are being served by the standard setting process. Is there evidence of this in the article?
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