Create a 9 page essay paper that discusses Should All Intangible Assets Be Shown in the Balance Sheet.
Accounting, as a profession, also grew in importance as the complications regarding the nature of the business also grew simultaneously. The use of creative accounting by the firm have necessitated a large scale changes to take place within accounting literature to suggest more radical approaches to handling many “ creative accounting” issues of importance. A m
ajor offshoot was that intangible assets grew in gross disproportion to tangible assets. Still, despite growing ‘suspect’ irregularities in accounting of intangible assets that emerged from time to time, the world did not place proper regulations in place. one of these missing regulations included presenting clear and proper information of all intangible assets in the balance sheet. In the backdrop of Enron disaster, UK and US has initiated many changed in different accounting practices such as amendments made in IAS 38 however, there is still lot to be done in terms of intangible asset disclosure in accounting statements as some of the firms are still engaged in practices of evading the inclusion of intangible assets into their balance sheet.
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