Purpose The purpose of this paper is to examine the effects of a principles-based accounting standard with guidance (principles-with-guidance approach), stringency (conservativeness) of numerical thresholds, and incentives (high or low debt-equity ratio environment) on the judgments of Japanese...

The objective of this paper is to contribute to the accounting education literature by demonstrating that there are significant differences in judgments between Australian and Chinese subjects studying within an Australian university with respect to an important issue in accounting, namely,...