Opportunistic Perspective
The opportunistic perspective holds the view that managers, who are agents to the principal, act to their self-interests. They only adopt accounting policies that allow them to gain, in the view that the firm also gains. Different types of hypothesis exist such as political cost, bonus plan and debt hypothesis that show what motives make the managers choose one accounting method over another.
Read more about this topic: Positive Accounting
Famous quotes containing the word perspective:
“All things being equal, I would choose a woman over a man in order to even the balance of power, to insinuate a different perspective into the process, to give young women something to shoot for and someone to look up to. But all things are rarely equal.”
—Anna Quindlen (b. 1952)