Rules versus principles-based pension accounting standards: An analysis of comparability
Gordon, Isabel & Gallery, Natalie (2008) Rules versus principles-based pension accounting standards: An analysis of comparability. In 16th Annual Conference on Pacific Basin Finance, Economics, Accounting and Management, 2 - 4 July 2008, Brisbane, Australia.
Motivated by Schipper and Vincent’s (2003) comment that comparability in financial reporting is under-researched, this paper analyses the comparability construct in the context of pension accounting. In practice, compromises or rules introduced into pension accounting standards are not based on principles but result from political bargaining (Daley and Tranter, 1990). Current pension accounting standards in the USA, Australia and the international pension accounting standard are compared using a "theoretical" benchmark to present the economic substance of the transaction. To develop the theoretical benchmark, Barth and Clinch's (1996) use of Ohlson's (1989) clean surplus model is adapted to articulate the sponsor’s profit and loss and balance sheet so that compromises are highlighted. This paper concludes that a principles-based approach that emphasises the economic substance and clean surplus approach need not necessarily compromise comparability.
Impact and interest:
Citation counts are sourced monthly from and citation databases.
These databases contain citations from different subsets of available publications and different time periods and thus the citation count from each is usually different. Some works are not in either database and no count is displayed. Scopus includes citations from articles published in 1996 onwards, and Web of Science® generally from 1980 onwards.
Citations counts from theindexing service can be viewed at the linked Google Scholar™ search.
Full-text downloads displays the total number of times this work’s files (e.g., a PDF) have been downloaded from QUT ePrints as well as the number of downloads in the previous 365 days. The count includes downloads for all files if a work has more than one.
|Item Type:||Conference Paper|
|Additional Information:||The contents of this conference proceedings can be freely accessed online via the publisher's web page (see hypertext link).|
|Keywords:||Pension Accounting, Accounting Standards, Superannuation, Principles versus Rules, Comparability|
|Subjects:||Australian and New Zealand Standard Research Classification > COMMERCE MANAGEMENT TOURISM AND SERVICES (150000) > ACCOUNTING AUDITING AND ACCOUNTABILITY (150100) > Financial Accounting (150103)|
|Divisions:||Current > QUT Faculties and Divisions > QUT Business School
Current > Schools > School of Accountancy
|Copyright Owner:||Copyright 2008 Isabel Gordon and Natalie Gallery|
|Deposited On:||05 Jan 2009 00:21|
|Last Modified:||29 Feb 2012 13:52|
Repository Staff Only: item control page