lenders to account for default risk on loans. Accounting authorities are concerned with whether the accounting method meets … the generally accepted accounting principles (GAAP) currently used, which are based on historic-cost values for assets and … liabilities. It then analyzes economic-value, or fair-value, accounting, which is being discussed as a substitute. ; The analysis …

do: it places specific restrictions on what constitutes admissible accounting standards. The purpose of our effort is to …