ICAEW study on measurement in financial reporting

The Institute of Chartered Accountants in England and Wales has published a study on Measurement in Financial Reporting. It examines various measurement bases currently being used and concludes that there is not one basis that is the best for all items in all circumstances. The report states that the “Evaluation of options” should include the option to do nothing. Once the costs of potential changes (including the costs of making the change) have been taken into account and their likely benefits considered, it may become clear that the most sensible policy is to leave things as they are.