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An Empirical Investigation Of A Choice Of Accounting Method For Investments By Colleges And Universities: Positive Accounting Theory Applied In A Not-For-Profit Environment, Bruce W. Chase

Theses and Dissertations

The reasons why managers make certain accounting method choices have been explored by accounting researchers for some time. For over ten years, much of this research has been driven by positive accounting theory, which is based on the underlying assumption that managers act rationally to maximize their own personal wealth when making accounting method choices. This study is an initial attempt to extend positive accounting theory research to a not-for-profit setting; specifically, the choice of accounting method for endowment investments by colleges and universities is examined.

The three objectives of this study are: 1) to determine if the findings of …