Critical Analysis: Chambers' Revolutionary Theory in Accounting

This report critically analyzes Raymond J. Chambers' revolutionary theory in contemporary accounting, focusing on its principles and impact on financial reporting. The report begins with an introduction to contemporary accounting theory and then delves into a critical appreciation of Chambers' contributions, discussing both arguments in favor of and against his ideas. It examines criticisms of Chambers' theory, such as the difficulty in differentiating fact from fiction and the limitations of his model in addressing practical problems. The report also acknowledges the arguments in favor of Chambers' theory, highlighting its objectivity in determining accounting methods and its ability to aid decision-making. The conclusion summarizes the key findings, emphasizing the criticisms and the enduring relevance of Chambers' work in the field of accounting. References to supporting literature are also provided.

Running Head: CONTEMPORARY ACCOUNTING THEORY
CONTEMPORARY ACCOUNTING THEORY
Name of the Student
Name of the University
Author Note

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Table of Contents
Introduction................................................................................................................................2
Discussion..................................................................................................................................2
Critical Appreciation of Chambers Revolutionary Theory....................................................2
Conclusion..................................................................................................................................4
Reference....................................................................................................................................5

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Introduction
The contemporary theory of the accounting is concerned with the set of the
methodologies as well as assumptions, which can be used in study and the applications of the
principles of the financial reporting. In this assignment, discussion will be done on the critical
appreciation of the way revolutionary contributor Chamber has been accepted as well as
criticized in his contemporary period and in era of the reforms in the accounting in twenty-
first century.
Discussion
Critical Appreciation of Chambers Revolutionary Theory
Arguments Relating to Criticism of Chamber Theory
Raymond J. Chambers was one of the prominent normative theorists, who have highly
criticized normative theory of accounting. The scholar has given major contribution in view
towards positive accounting theory, even though this revolutionary theory has been criticized
regarding various issues (Edwards, 2014). Chambers has made the statement that exit values
are concerned only with providing information of financial report. However, the model
proposed by Chamber has not provided strength to handle any problems. It is difficult for
differentiating the fact and the fiction, when reliance cannot be on the model to provide
knowledge that is certain for the future actions and when it does not represents past or present
events (Gaffikin, 2014). Chambers has also made the argument regarding adoption of the
current cash equivalents for introducing the additivity term. This concept, proposed by the
scholar, ignores the order consideration, which includes borrowings because business does
not overall depends on sales of fixed assets for gaining cash to further invest or divest and
funds availability by cash flows. Chambers model is having the view, which relates to control
interpretation. The assets of the organizations have the characteristics to convert in other
means. However, this nature of assets given by Chamber has single-sided view rather than

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taking into account additivity. This concept of role of accounting information is valid and is
in line with firms’ economic model (Gaffikin, 2014).
Chamber has attempted to portray the uses of assets in relation to real world events
has given narrow approach. Further, questions have been raised in relation to commitment
seriousness by Chamber in relation to going-concern concepts, which accounting theory can
rely upon. Moreover, in order to dissuade any emerging counter arguments, plea has been
made against emotions rather than logic approaches. The argument made by Chamber has
overlooked argument that is based on convention model of existing historical costing as
traditional doctrines (Gaffikin & Aitken, 2014).
Arguments in Favor of Revolutionary Theory of Chambers
Regardless of the numerous criticism received regarding revolutionary accounting
theory of the accounting, majority of the researchers has supported and appreciated the
contribution made by the international recognized scholar, Raymond J. Chambers. The
scholar has the view of objectivity in the determination of the accounting methods in the
prediction of the accounting methods in the given circumstances. The theory of Chamber
states that it is unscientific to impose own view on other. Therefore, preference is given to
provide information regarding any expectation of implications in relation to particular
actions. This helps the people to plan and decide the actions, which they would take in future
(E. Persson & J. Napier, 2014).
Moreover, the theory that Chamber has given is the theory that includes the approach
of predictive and explanatory. This theory of Chamber helps in assisting to meet demand
constraint of users, which is at the extent of influencing research design by the researcher’s
values. The theory provides the scope for making good choice in the decision-making by the
users in relation to investment (Dyckman & Zeff, 2015).

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Conclusion
Therefore, it can be said from the analysis that Chambers revolutionary theory or the
approaches have been highly criticized. It is because the theory proposed by Chamber would
not be relied on, in order to provide knowledge that requires being certain for some future
actions. Chambers theory does not represent past or present events. Hence, it can be
concluded that emergence of new plagiarism results in crisis state, irrespective of the field of
study.

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Reference
Dyckman, T. R., & Zeff, S. A. (2015). Accounting research: past, present, and
future. Abacus, 51(4), 511-524.
E. Persson, M., & J. Napier, C. (2014). The Australian accounting academic in the 1950s: RJ
Chambers and networks of accounting research. Meditari Accountancy
Research, 22(1), 54-76.
Edwards, J. R. (Ed.). (2014). Twentieth Century Accounting Thinkers (RLE Accounting).
Routledge.
Gaffikin, M. (2014). Raymond Chambers (b. 1917): Determined seeker of truth and fairness.
In Twentieth Century Accounting Thinkers (RLE Accounting) (pp. 21-38). Routledge.
Gaffikin, M. J. (2014). Accounting Methodology and the Work of RJ Chambers (RLE
Accounting). Routledge.
Gaffikin, M., & Aitken, M. (Eds.). (2014). The Development of Accounting Theory (RLE
Accounting): Significant Contributors to Accounting Thought in the 20th Century.
Routledge.