Question 2 - 750 words (4 marks)

According to Hines (1991, p.38):

"Conceptual framework projects continue to be undertaken which rely on information qualities such as 'representative faithfulness', 'neutrality', 'reliability', etc., which presume a concrete, objective world, even though past conceptual fameworks have not succeeded in generating accounting standards which achieve these qualities. The very talk, predicated on the assumption of an objective world to which accounts have privileged access via their 'measurement expertise', serves to construct a perceived legitimacy for the profession's power and autonomy".

What does Hines mean by this statement? Are conceptual frameworks an example of political action to ensure the legitimacy of the accounting profession, or do they exist for other reasons? Justify your response.

In addition to the marks above, 2 marks are allocated for academic writing, and 1 mark is allocated for referencing.

RATIONALE

This assessment task will assess the following learning outcome/s:

be able to critically evaluate attempts to develop and apply a conceptual framework.

be able to critically appraise the objectives of accounting and relate them to the various concepts of accounting discussed in earlier subjects.

be able to analyse the possible usefulness of alternative measurement systems to historical cost.