Capital Maintenance in Units of Constant Purchasing Power in terms of the Daily CPI

" IASC Foundation to become IFRS Foundation on 1 July 2010 On 1 July 2010 the IASC Foundation will formally change its name to the...

International Financial Reporting Standards definitions: 1. IAS 21 Par 8 Monetary items are units of currency held and assets and liabilit...

In practice, money has a specific real value for a month at a time in an internal economy or monetary union during low inflation and deflati...

This is what is stated in the book Principles of Generally Accepted Accounting Practice which reflects what is stated in the IASB´s Framewor...

Capital maintenance to be excluded from IFRS Last updated on 4 May, 2012 The current International Accounting Standards Board´s Framewor...

We can see from Table 3 what the difference would be when SA accountants freely decide to measure financial capital maintenance in units of ...

Link to tables Table 2 above is a good estimate of the state of real value destruction in the SA economy at the moment: In the 12 month pe...

SA accountants (and everyone else) make the mistake of blaming the destruction of companies´ profits and capital by their choice of traditio...

The change in the Consumer Price Index - which indicates the rate of inflation or deflation - is the only way we know what is happening with...

There are two economic enemies destroying real value systematically in the SA economy. The first enemy - inflation - is an economic process....

Constant real value non-monetary items never maintained constant are treated like monetary items when their nominal values are never updated...

It is not inflation doing the destroying as the IASB, the FASB and SA accountants mistakenly believe. It is SA accountants´ free choice of...

Increases in the general price level (inflation) destroy the real value of the Rand (the functional currency) and other monetary items with ...

There are two processes of systemic real value destruction in the SA economy, although everybody thinks there is only one economic enemy. Th...

When a central bank governor says that the central bank’s primary task or objective is price stability what she or he means is that the cent...

When we discuss, write about, talk about or analyze our functional currency, we call it money and describe it using the term money with the ...

There is no money illusion in hyperinflationary economies. People know that hyperinflation destroys the real value of their money very quick...

In Zimbabwe hyperinflation reached such high levels that the real value of the country’s entire money supply was wiped out. Towards the en...

Where Julius Malema will take South Africa if no-one stops him: hyperinflation.                      Real Value Table Per cent of Today’...

Audited Historical Cost financial reports do not fairly present the financial position of SA companies unless - the directors inform the s...