Need for regulation in accounting problem

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Some people argue that having various organizations establish accounting standards is wasteful and inefficient. Rather than prescribed accounting standards, each company could voluntarily disclose the type of information it considered important. If an investor wants additional information, the investor could contact the company and pay to receive the required information.

Required:

Comment on the appropriateness of this viewpoint. Prepare a report outlining the need for regulation in accounting and why a free market for accounting information is not ideal.

Reference no: EM13150403

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