Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
1000928 | Critical Perspectives on Accounting | 2011 | 7 Pages |
The purpose of this paper is two-fold. First, the author considers Norman Macintosh's recent arguments regarding the “bullshit” prevalent in accounting, and explicates the crux of problems raised in disputes concerning corporate aggressive earnings management. Second, the author suggests a theoretical and institutional framework to reconcile the disputes by applying implications from the Searlean theory of collective intentionality. To these ends, this paper draws mainly on related philosophical investigations, and attempts to shed new light on the present debate over principles- versus rules-based accounting standards and aggressive earnings management. Based on a theoretical analysis, this paper concludes by supporting principles-based accounting standards accompanied by the true and fair override provisions.