Identify A Positive Theory It Can Be About Any Area Of Accounting Explain The Id

Identify a positive theory (it can be about any area of accounting). Explain the identified theory and provide an example of a situation where the selected theory can be tested. Explain how the identified theory can be tested in the example you developed. (10 Marks)

Note: Positive Accounting Theory (PAT) is only one type of positive theory. The question relates to any positive theory in accounting.

 

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