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Accounting for SGARAs: A Stocktake of Accounting Practice Before Compliance With AASB 141 Agriculture
Author(s) -
HERBOHN KATHLEEN
Publication year - 2006
Publication title -
australian accounting review
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.551
H-Index - 36
eISSN - 1835-2561
pISSN - 1035-6908
DOI - 10.1111/j.1835-2561.2006.tb00361.x
Subject(s) - accounting , business , compliance (psychology) , agriculture , psychology , social psychology , ecology , biology
This paper reports the results of an investigation of the impacts of compliance with AASB 1037 Self‐Generating and Regenerating Assets for all listed Australian companies with material holdings of SGARAs. This investigation is useful for at least two reasons. First, the controversy and debate surrounding the standard raises the question of whether the consequences of application were as serious as predicted. Second, AASB 1037 was the first formal prescription on how to account for biological assets. As such, its consequences for reporting entities provide potential insights into the impact of AASB 141 Agriculture, which is applicable to reporting periods beginning on or after 1 January 2005.