Document Type : Original Research


Department of Accounting & Finance, The University of Fiji, Saweni, Lautoka, Fiji


The emerging economies differ significantly in terms of the size, structure, capabilities of the accounting institutes and regulatory bodies. The difference in the organizational culture in the emerging economies to that of a developed economy raises several concerns about the application of the principle - based accounting standards fostered by International Accounting Standards Board (IASB). Culturally, the professional accountants in Fiji prefer to adhere to rule as opposed to principle - based standards that requires exercise of significant judgment. Thus, the purpose of this paper is to elaborate on the strength and weaknesses of the rule and principle - based accounting standards and will specifically focus on the applicability of each type of the standards in the context of a less developed country – Fiji.


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