06 Jun ACCOUNTING QUESTION: OVER THE PAST 10
Accounting Question:
Over the past 10 years, FASB and IASB have been meeting to discuss a new revenue recognition model. Currently, there are two approaches to revenue recognition being proposed: (1) the measurement model and (2) the allocation model.
Consider the two approaches to standard setting: principles versus rules. Which approach will produce the most truthful financial statements? Go to FASB and IASB websites to explore their approaches in more detail. Then give key points on each side of the argument using revenue recognition as an example. Be sure that your response also provides an explanation of the theoretical basis for both methods.
Answers Required:
Half to one page only
Include 2 references
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