Influence of the British. Historical cost v. Current Value. Accounting for pension costs, post-employment benefits. Charges to retained earnings, prior period adjustments.
Rules affect business decisions.
Information overload for the users of financial statements. Measurement rules do not affect decisions of capital market participants, but disclosure rules do. Decision to list a stock depends on the disclosure requirements. Standards approved by Accounting Standards Review Board have the force of law under Companies Act, 1981. No pooling, no treasury stock, no LIFO, no prior period adjustments for accounting changes.