Objectives
Identify the alternatives available for measurement in accounting.
Understand the implications of measurement decisions on financial reporting.
Understand the impacts of inflation on the relevance and reliability of financial statements.
Recognize the alternatives available for accounting measurement.
Understand the trade-offs in the measurement alternatives.
Clearly communicate your thoughts and ideas in a clear and concise manner.
Practice your written communication skills including the ability to write persuasively in a document that is free of spelling and grammatical errors.
In your own words, explain how inflation impacts the reliability of financial statements. What do you think is the best way to address this issue? Support your answer with a well-reasoned and supported argument.
Readings
Measurement and Accounting by Harold Bierman, Jr.
Relevant Financial Reporting in an Age of Price Changes by Robert R. Sterling
