ABSTRACT
The accounting conventions suffer from a number of weaknesses which undermine their usefulness. This has led to attempts to develop a conceptual framework in order to place accounting on a sounder footing. The nature of a conceptual framework is examined in this chapter and its potential usefulness assessed. This chapter aims to review the framework on which accounting statements are built and to identify both the strengths and weaknesses of accounting information. This should make you more able to interpret accounting information and to search out additional information where appropriate.
