Accounting Theory and Issue

Question: Discuss about the Accounting Issue ? Answer : Introduction As per the article Half a Defence of Positive Accounting Research written by Paul V Dunmore, positive accounting refers to those academic accounting researches that attempt to explain and predict actual accounting practices. Positive accounting contracts with normative accounting for the derivation of optimal accounting standards. The topic of the report is to explain and evaluate the various aspects of positive accounting for accounting research. Positive accounting research is used to analyze the cause and effect of various relationships in the study world. The main aim of the study is to examine the ontology and epistemology of Positive research. Another aim of the report is to consider that how the current accounting practices are falling short in the operation of successful research of accounting. Hence, the main argument of the report is that whether Positive research in accounting is effective or not. For this purpose, several teats and studies are taken into consideration in this particular study. The paper is following certain structure. The first part of the report provides a brief overview about the topic of the study. After that, the summary of the article is provided. Then research questions are given along with the details discussion of them. Then, the theoretical framework is provided. After that, the significance and limitation of the paper is described. Lastly, based on the whole discussion, a conclusion has been drawn (Dunmore 2011). Summary of the Article The main argument of the topic is to evaluate the usefulness of positive theory in accounting. Certain steps are taken in order to explain the usefulness of positive theories of accounting. In this regard, the important aspects are the ontological and epistemological assumptions of positive theory for accounting. As per review of the wider intellectual projects, there are some serious deficiencies in the process of positive approach of accounting. Various kinds of illustrations in this project help to examine the usefulness of the positive approach of accounting. Hence, from the above discussion it can be said that testing the importance of positive approach in accounting is one of the aims or objectives of the study. However, there are other aims of the study. The next of the study is to examine the scientific ontology and epistemology of the positive approach of accounting. The above points show the importance of this study about the importance of positive approach of accounting pr actices. From, this statement, it can be concluded that there is a significant contribution of the study in the world of accounting. The ongoing research on the positive approach of accounting has provided a meaningful contribution of the study of accounting. The study has contributed to the solution of accepted accounting puzzles by the use of positive approach of accounting. Another contribution of the study is that it provides a reliable scientific bas in the process of accounting. The study has contributed in identifying the wide gap between the positive accounting practices and the actual adopted practices of accounting. In this regard, it needs to be said that the study indicates an argument that states that the current practices of accounting is largely illusory. Hence from the above discussion, it can be understood that the study takes and honest attempt to establish the image of positive approach of accounting process. This attempt needs some specific steps to take lime the evaluation and testing of various kinds of illustrations. As a finding, it can be established that there is a need for better theoret ical models in order to make accounting more effective. The finding also states that the current accounting theoretical models are not as appropriate and effective as they need to be (Dunmore 2011). Research Questions As per the above study, it can be understood that a research process is taken into consideration in order to evaluate the importance and usefulness of the positive approach of accounting to carry out various accounting activities. Some research questions are there in the particular study. The research questions are developed based on the situation given in the case study or in the article. There is not any exception in this case. There is some base of the research questions of the article, as some specific factors need to be justified through the research questions of the study. The first base of the research questions are to evaluate and justify that whether the positive approach of accounting is a more broad concept than the positive accounting theory. It is desired that the positive accounting approaches will be derived from the positive accounting theory. The second base, of the research questions is to measure or identify the extent the positive account is responsible for the achievement of the different accounting scientific objectives of any organization. It is natural that the positive accounting will help the organizations to achieve the accounting objectives in a scientific way. The neat base of the research questions is a little complicated as it involves the illustrations of Kuhn. As per this fact, the manner needs to be identified by which the illustrations of Kuhn liberate the various aspects of positive accounting. The illustrations of Kuhn are effective tools to identify the usefulness of the positive accounting research. The last base of the accounting questions is to identify and evaluate the aspects by which the ontology as well as epistemology assumptions can affect the different aspects of the research program. In this regard, it needs to be mentioned that the assumption of ontology and epistemology are the important factors in the research of the positive approach of accounting (Dunmore 2011). Based on the above discussion, there research questions can be derived. They are: How does positive approach of accounting assists in the attainment of the various scientific objectives of the accounting process? How does the paradigm of Kuhn help in the liberation of positive approach of accounting? Hoes does the various aspects of ontology and epistemology affect the research process of the particular research program. These are the basic research questions that can be derived from the research program. Theoretical Framework Theoretical frameworks refer to the collection of some interrelated concepts that guides to research and determine the objective of the research in this regard, it needs to be mentioned that there need to be some objectives of any research proposal as it is not possible to carry on any research without the presence of proper research objectives. As discussed earlier, the main purpose of the research is to evaluate the importance or usefulness of positive approach of accounting or positive theory of accounting. For measuring the importance of positive approach of accounting, a scientific research project has been taken into consideration. In this imaginary research project, some certain conditions have been created. First, there is a world that is independent from the imagination of the people; one cannot make anything up in that imaginary world. Second, the incidents that are happening in that imaginary place are not random and there is not any intervention of the any other people fr om the outer world. Third, people can gain all the relevant information from that by carefully observing the incidents of that world. Fourth, mental models are needed in order to map the casual processes of the world. These are the necessary hypothesis of the research process. As per the research, it can be said that the general concept of positive approach of accounting is much broader than the particular theory. This theory has a positive and direct influence on the pricing and decision making process of any organization. On the other hand, some people all over the world think that positive approach of accounting is not an appropriate model in the accounting process. As per the approaches in the study, human acts relating the process of accounting do not arise from the accounting theories. There are many critics of the assumptions of the scientific ontology and epistemology. As per the critics, these assumptions do not fit in the research process of positive approach of accounting. Most of the scientific researchers use various kinds of data that are either qualitative or quantitative. There are some theories that suggest that which kind of data need to be taken; but this does not mean that the chosen form is correct. In a more broader sense, it can be s aid that there is a large contribution of the positive accounting to understand the human behaviors in the various projects of accounting. The unique setting of the theories can be stated as the reason of this success. Accounting theories that can be challenged are the perfect theories as challenges of the critics make the assumptions of the theories perfect. On the other hand, the accounting theories that are not challenged do not reflect the truthfulness of them as their assumptions and various other aspects are not going under the scrutiny of the accounting experts. As a whole, it can be said that the research process has taken an honest attempt to establish the importance of positive theories of accounting and the success of the research reflects the success of the positive accounting theories (Dunmore 2011). Significance and Limitations Every research article is continued to achieve some objectives. This implies that there is some significance or importance of every research process. In case of this particular study, the research process is developed to evaluate the importance of positive theory of accounting. Hence, some objectives are set in this purpose. The first objective of the study is to evaluate the importance of the positive theory of accounting in developing the accounting standards. Various accounting standards are needed in order to make the process of accounting more appropriate. The second objective of the research process is to measure the extent by which the positive theory of accounting assists to achieve the goal of accounting in an organization. In this case, the significance of positive theory of accounting is that helps to identify the flows and loopholes in the accounting process of an organization and help them to take corrective measures. However, some hindrances can be specified as the limi tation or weakness of the research process. The selection of the hypothesis is considered as the weak area of the research process as all the hypothesis are based on imagination and they do not have any similarity with the actual world. On the other hand, there are problems with others assumption that can be identified by the accounting experts. There are instances where the hypothesis approaches have failed even in the presence of the solution of the issues. In this research process, only one hypothesis is taken is to consideration and this is the main reason for the failure of the hypothesis of the research process. Hence, from the above discussion it can be considered as the hypothesis portion of the research process is the main weakness or limitation of the total research process (Dunmore 2011). Conclusion The main objective of this report is to evaluate the importance of positive theory of accounting in the aspect of accounting practices. For this purpose, a research process is taken into consideration. In the research process, the ontology and epistemology of positive theory of accounting is tested and some imaginary assumptions are taken into consideration. However, these imaginary assumptions are the weak link of the research as they are imaginary and they are not related to the actual accounting world. At the same time, the significance of the research program cannot be denied as it helps to establish the importance or usefulness of positive theory of accounting. Positive theory of accounting has the necessary contribution understand the human behavior in the aspect of the accounting process. The main purpose of the study is not to explain the human behavior; but to inform the accountants about the various traits of human behavior in accounting that help to solve the different acc ounting puzzles with a little difficulty. Hence, based on the above discussion, it can be said that there is a significant contribution of positive theory of accounting for the improvement of the accounting practices around the world. Reference Chiapello, E., 2016. Critical accounting research and neoliberalism.Critical Perspectives on Accounting. Crawford, E.R. and Lepine, J.A., 2013. 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