The cognitive assumptions underpinning the accounting recognition of assets

Abstract

This paper presents an examination of the cognitive assumptions underpinning the accounting recognition of assets, in particular, internally created intangible assets such as brands, software and patents. The purpose is to examine, in broad terms, how accountants view these assets and, also, to assess whether accountants, themselves, are aware of the restrictive nature of their disclosure practices. It is supported by a small questionnaire of accountants to see whether there is some support for this assertion. Intangible assets are becoming paramount in the governance of companies and it is, therefore, pertinent for management to have relevant financial information about them. An important first step is to persuade accountants to recognise them.

Citation

Tollington, T. (2000), "The cognitive assumptions underpinning the accounting recognition of assets", Management Decision, Vol. 38 No. 2, pp. 89-98. https://doi.org/10.1108/00251740010317441