Why might the standard approaches to asset classification become problematic in a knowledge-based economy? Consider the challenges in recording and measuring intellectual capital and human resources. What alternative frameworks could better represent these intangible assets?

Auditing: A Risk Based-Approach to Conducting a Quality Audit
10th Edition
ISBN:9781305080577
Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Chapter16: Advanced Topics Concerning Complex Auditing Judgments
Section: Chapter Questions
Problem 46RSCQ
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Theoretical Question of general accounting

Why might the standard approaches to asset classification become problematic in a
knowledge-based economy? Consider the challenges in recording and measuring
intellectual capital and human resources. What alternative frameworks could better
represent these intangible assets?
Transcribed Image Text:Why might the standard approaches to asset classification become problematic in a knowledge-based economy? Consider the challenges in recording and measuring intellectual capital and human resources. What alternative frameworks could better represent these intangible assets?
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