- “It is surprising and distressing to find so little discussion of the total asset figure
in the accounting literature. Since total assets is one of the central concepts of
accounting, one would expect to find a good deal of explanation and interpretation.”
Sterling, R. R., 1979, Towards a Science of Accounting, Scholars Book Co, Houston,
p. 161.
1. With reference to the above statement describe what you understand by the
term asset and how they are measured.
2. Discuss assets and the problem of additivity in the context of the present IASB
framework.
3. Select a company from the Australian Securities Exchange website and
download the 2014 annual report. Evaluate the categorisation and treatment
of assets in the annual report.
4. Comment on the relationship between asset measurement and decision useful
information with examples from your selected annual report.
3000 words
