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

Money illusion Definition: Money illusion is the mistaken belief that money is stable in real value over time. Money illusi...

Deflation Deflation is a sustained absolute annual decrease in the general price level of goods and services. Deflation only occurs...

Net monetary gains and losses Entities with net monetary item assets (weighted average of monetary item assets greater than weighted ave...

Inflation ‘Inflation is always and everywhere a monetary phenomenon.’ Milton Friedman Inflation is a sustained increase i...

Money Money is the greatest economic invention of all time. Money did not exist and was not discovered. Money was invented over a ...

Valuation of variable items Variable items are valued in terms of IFRS, excluding the stable measuring unit assumption, under financ...

Four reasons why CIPPA automatically maintains the constant purchasing power of capital constant for an indefinite period of time ...

Price–level accounting does not prevail Price–level accounting as Harvey Kapnick hoped for in 1976 clearly does not prevail for bala...

Accounting cannot and does not create real value out of nothing It must be clearly understood that accounting per se cannot and ...

Two per cent inflation also erodes real value There is a school of thought that the effects of two per cent inflation are not mor...

Absolute price stability in constant items Constant Item Purchasing Power Accounting is a price–level accounting model where under f...

Price-level accounting Entities generally choose to measure financial capital maintenance in nominal monetary units and thus apply the ve...