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The ASB proceeded the ASC in 1990 following a series of large corporate failures and since has published accounting standards in accordance with a conceptual framework. The idea of a conceptual framework is not new and has been discussed in such reports as the Watts report and the Dearing report. The Dearing report concluded that the lack of a conceptual framework was a handicap to those setting accounting standards as well as to those applying them (Davies, Paterson and Wilson, 1999).
The conceptual framework or ?Statement of Principles' as it is more commonly referred to was published in its final form in March 2000...
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