THE CONCEPTUAL-FRAMEWORK OF RESOURCE ACCOUNTING

This article explains the underlying principles of resource accounting in UK central government and some of the theoretical and practical co mplications involved in meeting the requirement that it should be base d on company accounting. The author argues that the principles of reso urce accounting are very different from those underlying company accou nting, and that accounting for the effects of changes in the general l evel of prices might be being stifled only because there is no paralle l in company accounting. The implication is that competition will aris e between, resource accounting and company accounting for dominance.