The Hicks’ Concept of Income and Its Relevancy for Accounting Purposes
Procházka, David. 2009. “The Hicks’ Concept of Income and Its Relevancy for Accounting Purposes.” European Financial and Accounting Journal 4 (1): 37–60.
24 Pages Posted: 29 Oct 2015 Last revised: 30 Oct 2015
Date Written: March 30, 2009
The paper analyses the possibility of using the economic concept of income introduced by J. R. Hicks for accounting purposes. Despite some disadvantages hindering from its broader practical utilisation, this concept still finds its place in the area of managerial accounting and capital maintenance. Some aspects of Hicks’ income concepts can be even found in International Financial Reporting Standards.
Keywords: J. R. Hicks, ex-ante income, ex-post income, subjective value, subjective goodwill, subjective profit
JEL Classification: M41
Suggested Citation: Suggested Citation