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th the measurement of timing of the assets. Muslims is encouraged to involve in zakat as to fulfill their obligations which in line with Shari’ah of Islam. The determination and accountability of Zakat in the early accounting development had already provided by the accounting books and reports.

Based on the Mirza and Baydoun argument, the historical cost for asset, debts, firm operations and cash management is a reliable source, they also believe that concept of stewardship in Islamic accounting is well based on historical cost. But based on the Shari’ah, the historical cost will not be applied as it focuses on the current valuation method.

In Islamic perspective the contract fulfillment principles is not effective as it is assume the contract is the pass activity and they assume that the historical cost will disclosing of the truth and forbidding the withholding. However, we are suggest that the using of historical cost is applicable in reflects to the conservatism which will understated the valuation.

Conclusion

It would be suitable to lead an Islamic accounting system to the achievement of the Islamic socioeconomic objective of falah. Therefore, its objectives and characteristics should be able to lead the enterprise in developing an Islamic accounting system, by provide a true picture of the enterprise and to inspire them to be Ihsan (benevolence) and stopping them from being unfair and unjust.

The Implications of Islamic Jurisprudence for the International

Harmonization Of Accounting Standard - Thea Vinnicombe* and David

Park, CPA (2007)

Introduction

Thea and David (2007) stated that, the implication of Islamic jurisprudence for the international harmonization of accounting standards has match with the development of Islamic financial institutions and accounting standards. There is the need for standardization on financial reporting practices of Islamic business organization to meet the needs of the users, such as Islamic financial institutions. The paper are discussing the differences or comparing the differences between the conventional Western and Islamic accounting standards.

Main Content

The preparation of financial statements.

In Islam, the well-being of the umma or Islamic community is considered primary, but for the users of Western financial statements, their primarily concern are to maximize profit and utility.

The ban on riba.

Conventional banking is based on the interest rate spread between the depositors and the borrowers, the receipts and payment of interest is unlawful in Islamic financial transactions. For Islamic banking, riba represent the foundations of Islamic business arrangements.

Acceptable Valuation Methods.

The acceptable valuation methods used in conventional Western accounting are that future values are discounted to net present value by using the discount rate (estimated interest rate). These valuation methods are unacceptable in Islamic accounting because the risk inheren本论文由英语论文网提供整理，提供论文代写，英语论文代写，代写论文，代写英语论文，代写留学生论文，代写英文论文，留学生论文代写相关核心关键词搜索。