The statement that best describes the interaction of academic and professional research interests with respect to accounting theory,is:
A)Academic and professional research interests are incompatible as academic research centres on positive theories which are not prescriptive
B)Academic researchers use positive accounting theories whereas the accounting profession uses normative theories
C)While accounting profession researchers seek normative (prescriptive)theories for accounting practice,these theories are not incompatible with academic (positive)theories which can be used to advise accounting professionals in the development of prescriptive practices
D)None of the above

Question

Quizplus · Accepted Answer

This option accurately describes how professional and academic research interests interact with respect to accounting theory. While academic research centers around positive theories, these theories can still be used to advise accounting professionals in developing prescriptive practices that align with normative theories sought by the accounting profession. Therefore, academic and professional research interests are not incompatible, and positive accounting theories can inform normative accounting practices. Option A and B are incorrect as they present an inaccurate and incomplete understanding of how academic and professional research interests interact. Option D is incorrect as it does not provide any information or explanation.

The Statement That Best Describes the Interaction of Academic and Professional