Details for Accounting Theory and Current Issues

This subject requires students to develop a deep understanding of various accounting theories and to apply that to specific financial reporting issues and the conceptual framework used by the Australian Accounting Standard Board (AASB).  Students will critically evaluate both the accounting standard setting process and the theoretical or logical basis of specific accounting standards; and then apply this to topics such as fair value accounting, capital market contracting, earnings management, environmental and sustainability accounting, and the international harmonization of accounting standards.

Quick Info

  • Currently offered by Alphacrucis: Yes
  • Course code: ACC311
  • Credit points: 10
  • Subject coordinator: Philip Lee


The following courses are prerequisites:

Awards offering Accounting Theory and Current Issues

This unit is offered as a part of the following awards:

Unit Content

Curriculum Objective



1.  Explain and apply the conceptual framework of accounting;

2.  Critically analyse a variety of both normative and positive financial accounting theories;

3.  Demonstrate an advanced ability to apply normative and positive accounting theories to current accounting issues, and form judgements about likely outcomes or appropriate responses within an accounting theory framework;

4.  Identify and discuss how accounting policy choices available (or under consideration) within International Financial Reporting Standards should be operationalised;

5.  Explain and apply the theoretical principles which underlie accounting practice and related disciplines;

6.  Critically evaluate the accounting standard setting process in the light of accounting theories;

7.  Appraise international harmonization efforts with accounting from both a practical and theoretical point of view;

8.  Demonstrate an advanced understanding of current issues (developments) in accounting theory and practice in light of a Christian worldview.

Subject Content

  1. Introduction to Accounting Theory
  2. Conceptual Framework
  3. Accounting Standard setting – National and International (harmonization)
  4. Measurement
  5. Theories in accounting
  6. Positive accounting theory
  7. Institutional theory & Legitimacy theory
  8. Stakeholder theory & Contingency theory
  9. Applying Accounting theory
  10. Capital market research and accounting
  11. Fair value accounting
  12. Contemporary Issues in light of a Christian worldview

This course may be offered in the following formats


Please consult your course prospectus or enquire about how and when this course will be offered next at Alphacrucis University College.

Required Equipment


Assessment Methods

Two 1,500 word essays, each worth 25%

Two hour exam 50%

Prescribed Text

Rankin, M., Ferlauto, K., McGowan, S. and Stanton, P. (2017). Contemporary Issues in Accounting (2nd ed.).  Milton, Queensland: John Wiley & Sons Australia.  ISBN: 978-0-730-34353-0

Please check with your instructor BEFORE purchasing any textbooks.

Representative References