Developing accounting standards on the basis of a conceptual framework by the Chinese government
- 31 December 1997
- journal article
- Published by World Scientific Pub Co Pte Ltd in The International Journal of Accounting
- Vol. 32 (3) , 279-299
- https://doi.org/10.1016/s0020-7063(97)90012-1
Abstract
Contradictory to some existing theories, the Chinese government has been developing accounting standards on the basis of a conceptual framework (CF) titled Accounting Standards for Business Enterprises (ASBE). This article evaluates the role of the ASBE and explores the potential benefits and risks of and the reasons for the adoption of a government-controlled and CF-based approach. We argue that a CF can play an important role even if accounting standard-setting is controlled by the government; however, the ASBE provides an insufficient basis for developing accounting standards.Keywords
This publication has 3 references indexed in Scilit:
- The FASB's conceptual framework, financial accounting and the maintenance of the social worldAccounting, Organizations and Society, 1991
- Chinese accounting systems and practicesAccounting, Organizations and Society, 1988
- The Function of a Conceptual Framework for Corporate Financial ReportingAccounting and Business Research, 1982