This course explores some of the theoretical issues that underlie the discipline of financial accounting and some of the practical consequences of these issues. The course draws on related fields of study, particularly economics and finance, to examine the efficient markets hypothesis and its implications for financial reporting. Applications of the present value model in accounting, positive accounting theory agency theory and its implications for financial reporting, the accounting standard-setting process, and the economic consequences of accounting decisions are also discussed. . The course covers accounting regulation, nationally and internationally, and several approaches used in accounting theory and research.
