PROPRIETARY THEORY Definition

Bookmark and Share

PROPRIETARY THEORY is where no fundamental distinction is drawn between a legal entity and its owners, i.e. the entity does not exist separately from the owners for accounting purposes. The primary focus is to report information useful to the owners, and therefore the financial statements are prepared from their perspective. See ENTITY THEORY.

Learn new Accounting Terms

CSR see CORPORATE SOCIAL RESPONSIBILITY.

SPECIAL INTEREST PURCHASERS are acquirers that believe they can enjoy post-acquisition economies of scale, synergies, or strategic advantages by combining the acquired business interest with their own.

Suggest a Term

Enter Search Term

Enter a term, then click the entry you would like to view.