Accounting has evolved with the development of human beings, and the concept of accounting subjects has been directly created from its most basic principles of conservatism. It is not difficult to see why accounting styles at all time points are related to age. As humans evolved from the primitive era to the era of modern interdependence, life has evolved from being a hunter-gatherer to a knowledge-driven global world, that is, the effectiveness of turning to greatness. The abacus' self-accounting has evolved through management accounting to financial accounting and current administrative accounting; it focuses on decision making.
The Financial Accounting Standards Board [FASB] generally standardizes and strengthens the Globally Accepted Generally Accepted Accounting Principles [GAAP], and in 2012, together with the International Accounting Standards Board [IASB], a type called ' International Convergence ' It is expected that this convergence will gradually coordinate GAAP and IFRS until they become the same one, in order to aggregate company/company reports into a globally unified process.
1.1 Problem Statement
What is the future of the accounting profession is not absolutely certain. Still, the future era will certainly be the era of scientific progress, but humanity will transfer great things from great things to something more valuable at the time. Spiritualism, environmentalism and developmentism may be key factors in the future. The purpose of this paper is to find out whether accounting itself is more realistic and provide accurate solutions to financial problems. Among these problems, people's natural capital valuation ability may be raised to important assets on the balance sheet, which is distinct from the industrial era. Compared. Even a man is considered a labor force and is not considered to be as important as the machine he operates.
2. Literature review
From the perspective of content analysis, this paper – concept theory and relationship theory. Content analysis is "a research technique for objectively, systematically and quantitatively describing the explicit content of communication" – [Berelsson, 52]. The concept analysis is only to test the existence of the problem, that is, the use of stronger positive or negative vocabulary in a particular argument, while the relationship analysis is based on the analysis of concepts to establish a conceptual analysis. As with other types of surveys, the initial choice of what is being studied determines the likelihood of this particular paper.
2.1 Evolution of accounting theory
According to investopedia.com, accounting theory can be defined as a review of the historical basis of accounting practices and the verification of accounting practices, and adds them to the research and application of financial principles. Accounting as a discipline is believed to have existed since the 15th century. From then until now, businesses and the economy are constantly evolving. Accounting theory must adapt to new business methods, new technology standards and gaps found in current reporting mechanisms. This is an evolving theme. As professional accounting organizations help companies interpret and use accounting standards, the Accounting Standards Board also helps create more effective practical applications of accounting theory. Accounting is the foundation for efficient and effective business management and intelligent management decisions. Without these decisions, companies and trades around the world will operate blindly and deadly. Therefore, it is necessary to link its development approach with its future role.
2.2 The origin of accounting
Luca Pacioli wrote a math book in 1494 [ehow], considering a chapter on business mathematics. Since this book is considered to be the first official book on accounting, Luca Pacioli is often seen as the father of accounting #39; in his math book, Pacioli explains that successful businessmen need three things: adequate Cash or credit; an accounting system that tells him how he did it; and a good bookkeeper to manipulate it. Pacioli's theory still exists today, including journals and ledgers, which are believed to have promoted the use of double-entry accounting that has existed since the end of the 13th century.
2.2.1 The first change in accounting
During the depression of 1772, the accounting industry went beyond bookkeeping to cost accounting. Theory and ideas are translated into a method for determining whether an enterprise is operating or using too much labor and resources. The new cost accounting theory allows trained bookkeepers or accountants to use saved books to extract financial reports to show the efficiency of these data. This new idea has led to the survival of companies during depression; if there is no wise management decision through cost accounting breakthroughs, then the company that would have failed.
2.2.2 Impact of the American Revolution / English Court
The end of the American Revolution saw the establishment of the first American [US] government accounting system in 1789, which was established to explain and manage the US Treasury. Adopt dual entry practices and theories. The English court ruled that they needed professional accountants to provide financial information on court cases. The United Kingdom [especially the CPA-CPA in the United States] introduced the Chartered Accounting Group/Concept. In 1887, Frank Brooke became the first CPA in the United States and the first standardized test.
2.3 Modern Cost Accounting
This was first established by General Motors [GM] in 1923, which developed ways to help reduce costs and simplify operations, and this approach remains relevant for more than 50 years. The new accounting techniques developed include ROI, return on equity and GM's flexible/adjustable budget concept.
2.4 Accounting concepts and practices
This was established in the United States by the United States Accounting Procedures Committee [CAP] from 1936 to 1938, thereby standardizing accounting practices for all US companies. In 1953, the Generally Accepted Accounting Principles [GAAP] was updated to the new standard. CAP became the Accounting Principles Committee [APB] in 1959. Later, in 1973, APB [inappropriate management] was replaced by the Financial Accounting Standards Board [FASB]. Have more power and opinions.
2.5 International Financial Reporting Standards
The FASB issued nearly 200 statements between 1973 and 2009, thus establishing the basis for the accounting standards currently in use, and is now undergoing frequent transfers to coordinate all accounting principles of GAAP with the International Accounting Standards Board [IASB] for international finance. Reporting Guidelines [IFRS]. It is generally believed that the accounting career development in any country and region is the joint efforts of accounting theorists and certified public accountants. Therefore, the accounting framework is a harmonious effort, and professional accounting institutions are usually on the road to regulation and standardization of accounting-related issues.
2.6 Nigeria scenario
In Nigeria, the case is no different from what has been discussed. Accounting standards [concepts and practices] in most countries are inherited from the British colonial masters. And since the world has indeed become a large global village, global accounting agencies are responsible for overseeing and ensuring that all member states are in sync with current GAAP, and Nigeria also marks several public and private sector reforms that are recent and most recent. Notable, the federal government approved the adoption of Public Sector Accounting Standards [IPSAS] and Private Sector International Financial Reporting Standards [IFRS] in July 2010 to consciously ensure that the unified reporting chart is adopted by the public and private sectors. State system.
2.7 International convergence of accounting standards
This concept is both the goal to achieve this goal and the way to achieve it. The FASB believes that the ultimate goal of convergence is a set of high quality international accounting standards that global companies will use for domestic and cross-border financial reporting. To this end, the FASB and the IASB are making conscious efforts to jointly eliminate the differences between “GAAP” and “GAAP”. And IFRS' On April 5, 2012, an updated report was submitted at a plenary meeting of the Financial Stability Board on accounting integration, which is a conscious effort. Investors drive the growing demand for global capital markets. The desire for high-quality, internationally comparable financial information is due to its promise to provide immediate usefulness for decision making and an accurate solution to the problem. Founded on April 1, 2001, the IASB is the successor to the International Accounting Standards Board [IASC]. On March 1, 2001, the IASB was an independent accounting standard setter based in London, UK, and assumed responsibility for accounting standardization. The IASB is responsible for issuing a number of accounting standards and statements called International Financial Reporting Standards [IFRS].
3. Discover the statement
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