A cultural assessment on measurement basis of accounting

Abstract

Cultural differences play a decisive role in the accounting sub-culture properties. Therefore, the accounting practices and approaches show some differences from country to country. Prepared financial reports in diverse countries cannot be compared with each other due to these differences. In order to overcome this problem which is very important for users of financial statements, countries that especially acting in accordance with Europa Union norms have begun to reporting in accordance with international accounting and financial reporting standards. However, this transformation has not yet been completed due to the accounting sub-culture features in many underdeveloped and developing countries. In this context; in this study, by comparing the historical cost based approaches and the current cost based approaches that are proposed in the international accounting and financial reporting standards, switching to the current cost based approaches is discussed in a cultural perspective.