Questions from General Accounting


Q: The social goals underlying accounting regulation are information symmetry and comparability.

The social goals underlying accounting regulation are information symmetry and comparability. Why are these goals complementary?

See Answer

Q: What is the difference between joint and severable liability and proportionate liability

What is the difference between joint and severable liability and proportionate liability?

See Answer

Q: What is the difference between “accounting theory” and “accounting

What is the difference between “accounting theory” and “accounting research?

See Answer

Q: Why is it argued that capital market research cannot determine the optimality

Why is it argued that capital market research cannot determine the optimality of accounting policies even for the limited investor-creditor group?

See Answer

Q: How do market-level and individual decision-maker analyses complement

How do market-level and individual decision-maker analyses complement one another in studying the usefulness of accounting information to investors and creditors?

See Answer

Q: What is the relationship between public goods and free riders? Is

What is the relationship between public goods and free riders? Is accounting a public good?

See Answer

Q: There has been a trend toward rigid uniformity in the format of

There has been a trend toward rigid uniformity in the format of the income statement. Explain how and why this has occurred.

See Answer

Q: The “uncertainty principle” of the famous physicist, Werner Heisenberg

The “uncertainty principle” of the famous physicist, Werner Heisenberg, states that physical phenomena cannot be precisely measured because the very act of measuring affects the phenomenon being measu...

See Answer

Q: Why does post-earnings-announcement drift challenge the efficient-

Why does post-earnings-announcement drift challenge the efficient-markets hypothesis?

See Answer

Q: Why is earnings-per-share calculation an example of the

Why is earnings-per-share calculation an example of the residual equity of a firm being broader than merely its current common shareholders?

See Answer