Historical Cost in Islamic Accounting Perspective

M. Dawud Arif Khan, Moch. Buchori Muslim

2018

Abstract

The research is to search for the meaning of the events of social and culture that is based on the perspective and experience of researcher, in this case related to the concept of historical cost, evaluated from the sharia’s perspective.This study uses a qualitative-interpretive approach, The main source of this research is the Conceptual Framework of the Preparation and Presentation of Sharia Financial Statements, Accounting and Auditing Standards for Islamic Financial Institutions, the books of classical Islamic jurisptudence and conventional accounting books with GAAP and IFRS approach. Other sources are taken from the literatures those discuss the concept of valuation of assets in accounting. This study supports the formulation of Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI) and Institute of Indonesia Chartered Accountants (IAI) which states that the basis of measurement that is commonly used by Islamic entities in the preparation of financial statements is historical cost. This study concludes that the historical cost accounting concept in accounting is not contradictory to sharia principles and commonly used by sharia entities in the preparation of financial statements, combined with other measurement basis, as long as the use of other valuation concepts produces relevant and reliable information in financial reporting.

Paper Citation

in Harvard Style

Khan M. and Muslim M. (2018). Historical Cost in Islamic Accounting Perspective.In Proceedings of the 1st International Conference on Recent Innovations - Volume 1: ICRI, ISBN 978-989-758-458-9, pages 1052-1058. DOI: 10.5220/0009922710521058

in Bibtex Style

@conference{icri18,
author={M. Dawud Arif Khan and Moch. Buchori Muslim},
title={Historical Cost in Islamic Accounting Perspective},
booktitle={Proceedings of the 1st International Conference on Recent Innovations - Volume 1: ICRI,},
year={2018},
pages={1052-1058},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0009922710521058},
isbn={978-989-758-458-9},
}

in EndNote Style

TY - CONF

JO - Proceedings of the 1st International Conference on Recent Innovations - Volume 1: ICRI,
TI - Historical Cost in Islamic Accounting Perspective
SN - 978-989-758-458-9
AU - Khan M.
AU - Muslim M.
PY - 2018
SP - 1052
EP - 1058
DO - 10.5220/0009922710521058