Contemporary Issues Of Accounting ( Theory ) Essay

Contemporary Issues in Accounting (Theory) One of the most debatable or contentious issues in the accounting is measurement. While the objective of general purpose financial reporting is to generate information that is beneficial to decision makers external to the organization, there is no agreement on the most appropriate measurement to use. The various stakeholders in this field continue to disagree on the most suitable measurement model to use to achieve the objective of general purpose accounting. In addition, many new students beginning their studies in this profession are increasingly unaware that they will come across different measurement models in their studies. Actually, most of them assume that measurement of something will be the least of their problems. However, measurement remains one of the major issues that they will need to address throughout their program of study. In order to understand the measurement dilemma in accounting for first year students, it is vita l to examine the nature of measurement. What is Measurement? Measurement can simply be defined as the act or process of measuring or calculating. The other synonyms of measuring include quantifying, weighting, a unit for stating the weight and size, and the dimension or degree of something. Measurement involves identifying an attribute of what to measure and deciding how to measure in terms of scale and unit. 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