Law, Regulations and The Conceptual Framework of Accounting
| This section may contain unsourced predictions, speculative material or accounts of events that might not occur. Please help improve it by removing unsourced speculative content. |
In the future, issues regarding conflicts of interest may be tackled through legislation which bans audit firms holding shares in client companies. Some financial commentators believe that it is the subjective nature of modern day accounting which is the main contributor to the ambiguity of auditor independence and suggest this could be clarified through the introduction of a conceptual framework, rather than legislation. They feel a set of agreed definitions on matters which are not encompassed by formal standards would benefit the auditor and, ultimately, remove any doubts over real and apparent independence.
Read more about this topic: Auditor Independence
Famous quotes containing the words regulations, conceptual, framework and/or accounting:
“If it were possible to make an accurate calculation of the evils which police regulations occasion, and of those which they prevent, the number of the former would, in all cases, exceed that of the latter.”
—Karl Wilhelm Von Humboldt (1767–1835)
“I philosophize from the vantage point only of our own
provincial conceptual scheme and scientific epoch, true; but I know no better.”
—Willard Van Orman Quine (b. 1908)
“Seeing our common-sense conceptual framework for mental phenomena as a theory brings a simple and unifying organization to most of the major topics in the philosophy of mind.”
—Paul M. Churchland (b. 1942)
“At the crash of economic collapse of which the rumblings can already be heard, the sleeping soldiers of the proletariat will awake as at the fanfare of the Last Judgment and the corpses of the victims of the struggle will arise and demand an accounting from those who are loaded down with curses.”
—Karl Liebknecht (1871–1919)