Abstract ABSTRACT: The issue of interim reports is once again under consideration by the accounting profession. In its Discussion Memorandum, the FASB describes three major methods for interim reporting--the integral, the discrete, and the combination. The Board refers to the combination method as the one which combines the advantages of both the integral and discrete methods. Specifying three different objectives of interim reporting and using differing assumptions about the forecasting ability of management, this study examines the conditions under which the Board's assumption might hold true. In doing so, however, it is also shown that there exist conditions wherein one of the other methods would always be preferred. The paper concludes with a suggestion which, if implemented, could result in the combination method being preferred.
Fried et al. (Wed,) studied this question.
Synapse has enriched 5 closely related papers on similar clinical questions. Consider them for comparative context: