Normative accounting theories and research seek to:
Explain and predict particular phenomena based on observation
Prescribe particular approaches not driven by existing practices
Describe what is normal, or generally accepted, practice
All of the given options are correct.
A theory that predicts that, if certain conditions are met then particular accounting practices will be observed, is an example of:
Positive Accounting Theory
Negative Accounting Theory
Normative Accounting Theory
Descriptive Accounting Theory
Which of the following statements aligns with the views of 'Falsificationists', such as Popper and others?
Hypotheses are proposed by guessing, without guidance from existing theories.
It is possible to state that a theory is true.
Hypotheses must be stated in a form that assumes they are true, until evidence that is not supportive rejects them.
All theories are false until they are proved to be true.
Which of the following terms describes a relationship that is argued from the specific (or particular) to the general?
Which of the following is an example of a dominant paradigm in accounting prior to 1960?
Current cost accounting
Conceptual framework of accounting
Historical cost accounting
Continuously contemporary accounting