hese areas in previous years, and the need for some integrity in the Australian accounting system. By doing this surveillance it is to act as a deterrent for all firms from doing unlawful activity, which in previously years could have occurred and gone undetected.
             If the accounting surveillance program was not introduced when it was there would still be a great lack of honesty between firms and its stakeholders. This lack of good corporate governance means that shareholders could be getting a false impression of the firm and would end up overvaluing the contribution to the firm. By the use of the surveillance program, due to it originally being random, firms weren't sure as to the regularity of the checks and ended in reports being done more accurately or by ASIC discipline.
             IDENTIFY AND EXPLAIN HOW AASB STANDARDS, SAC'S OR INTERPRETATIONS AND ABSTRACTS CAN DEAL WITH THE FOLLOWING SPECIFIC ISSUES:
             Due to technological, market, and economic factors, or physical damage of an asset, a situation where the asset's recoverable amount is greater than the asset's carrying value may arise (this is usually after the asset has undergone a revaluation). The recoverable amount is defined as 'the higher of fair value less costs to sell and it's value in use' (Australian Financial Accounting, Deegan 2007, p.217). The carrying value is defined as 'the amount at which an asset is recognized after deducting any accumulated depreciation'(Deegan 2007, p.217). The accounting standard AASB 136, as shown in the Financial Reporting Handbook 2007 (2007) provides guidance on the correct accounting method used to ensure the asset's value in the financial statements is not overstated. The standard states that an 'impairment loss' must be recognized, which is 'the amount by which the carrying amount of an asset exceeds its recoverable amount' (FRH 2007 p.844).
             An example of a rele...