HERITAGE ASSETS: RECOGNITION, MEASUREMENT AND DISCLOSURE IN MUSEUMS
DOI:
https://doi.org/10.14392/asaa.2022150103Keywords:
Heritage assets, Recognition, Measurement, DisclosureAbstract
Purpose: This study investigates how heritage assets are recognized, measured, and disclosed by museums.
Method: A documentary research was carried out focusing on a quantitative approach. It was analyzed financial statements of 42 Australian, 25 New Zealand, and 171 English museums, totaling a sample of 238 entities. Data were analyzed considering the dimensions defined in items of AASB 116, PBE IPSAS 17, and FRS 102 standards.
Results: The results of the documentary analysis revealed the adoption of different practices, either when looking at museums in the same country or when making a comparison between countries. In Australia, museums predominantly capitalize their heritage assets, while in the United Kingdom most museums have adopted the mixed approach or have not recognized these assets. New Zealand, in turn, presents an intermediate scenario, with entities divided between these two possibilities.
Contributions: The study contributes to understanding the limits regarding the application of the current standards, leading to discussions on the most appropriate approach in the context of the investigated organizations.
Keywords: Heritage assets. Recognition. Measurement. Disclosure.
Downloads
References
Adam, B., Mussari, R., & Jones, R. (2011). The diversity of accrual policies in local government financial reporting: an examination of infrastructure, art and heritage assets in Germany, Italy and the UK. Financial Accountability & Management, 27(2), 107-133. https://doi.org/10.1111/j.1468-0408.2011.00519.x
Ambrose, T., & Paine, C. (2012). Museum basics (3. ed.). New York: Routledge.
Anessi-Pessina, E., Caruana, J., Sicilia, M., & Steccolini, I. (2020). Heritage: the priceless hostage of accrual accounting. International Journal of Public Sector Management, 33 (2/3), 285-306. https://doi.org/10.1108/IJPSM-12-2018-0263
Australian Accounting Standards Board. (2015). AASB 116: Property, Plant and Equipment. Victoria: AASB. Retrieved November 22, 2015, from https://www.aasb.gov.au/admin/file/content105/c9/AASB116_08-15_COMPoct15_01-18.pdf
Aversano, N., & Christiaens, J. (2014). Governmental financial reporting of heritage assets. Financial Accountability & Management, 30(2), 150-174. https://doi.org/10.1111/faam.12032
Aversano, N., Christiaens, J., & Thielen, T. (2019). Does IPSAS Meet Heritage Assets’ User Needs? International Journal of Public Administration, 42(4), 279-288. https://doi.org/10.1080/01900692.2018.1433205
Aversano, N., Christiaens, J., Tartaglia Polcini, P., & Sannino, G. (2020). Accounting for heritage assets: An analysis of governmental organization comment letters on the IPSAS consultation paper. International Journal of Public Sector Management, 33 (2/3), 307-322. https://doi.org/10.1108/IJPSM-12-2018-0275
Barker, P. (2006). Heritage Assets: can accounting do better? Accountancy Ireland, 38(4), 48-50.
Barton, A. D. (2000). Accounting for public heritage facilities: assets or liabilities of the government? Accounting, Auditing & Accountability Journal, 13(2), 219-235. https://doi.org/10.1108/09513570010323434
Barton, A. D. (2005). The conceptual arguments concerning accounting for public heritage assets: a note. Accounting, Auditing & Accountability Journal, 18(3), 434-440. https://doi.org/10.1108/09513570510600774
Biondi, L., & Lapsley, I. (2014). Accounting, transparency and governance: the heritage assets problem. Qualitative Research in Accounting & Management, 11(2), 146-164. https://doi.org/10.1108/QRAM-04-2014-0035
Biondi, L., Grandis, F., & Mattei, G. (2021). Heritage assets in financial reporting: a critical analysis of the IPSASB's consultation paper. Journal of Public Budgeting, Accounting & Financial Management, 33(5), 533-551. https://doi.org/10.1108/JPBAFM-09-2020-0158
Buch Gómez, E. J., & Cabaleiro Casal, R. (2008). “Heritage assets” e infraestructuras públicas: ¿Cómo, dónde y por cuánto? Investigaciones Europeas de Dirección y Economía de la Empresa, 14(1), 103-116. https://doi.org/10.1016/S1135-2523(12)60014-8
Campos, L., Santos, V., & Lima, D. (2016). Ativos Culturais: uma análise do tratamento contábil em cidades históricas do estado de Goiás. Revista Universo Contábil, 12(3), 06-25. https://dx.doi.org/10.4270/ruc.2016318
Carnegie, G. D., & Wolnizer, P. W. (1995). The financial value of cultural, heritage and scientific collections: an accounting fiction. Australian Accounting Review, 5(1), 31-47. https://doi.org/10.1111/j.1835-2561.1995.tb00164.x
Carnegie, G. D., & Wolnizer, P. W. (1996). Enabling accountability in museums. Accounting, Auditing & Accountability Journal, 9(5), 84-99. https://doi.org/10.1108/09513579610151962
Carnegie, G. D., Sidaway, S., & West, B. (2013). A chaotic field of practice: Financial reporting of the library collections of Australia’s Public Universities, 2007–2011. Australian Academic & Research Libraries, 44(4), 195-216. https://doi.org/10.1080/00048623.2013.857444
Craig, R., Taonui, R., & Wild, S. (2012). The concept of taonga in Maori culture: insights for accounting. Accounting, Auditing & Accountability Journal, 25(6), 1025-1047. https://doi.org/10.1108/09513571211250233
De Wolf, A., Christiaens, J., & Aversano, N. (2021). Heritage assets in the due process of the International Public Sector Accounting Standards Board (IPSASB). Public Money & Management, 41 (4), 325-335. https://doi.org/10.1080/09540962.2020.1727114
Ellwood, S., & Greenwood, M. (2016). Accounting for heritage assets: Does measuring economic value ‘kill the cat’? Critical Perspectives on Accounting, 38(1), 1-13. https://doi.org/10.1016/j.cpa.2015.05.009
External Reporting Board (XBR). PBE IPSAS 17 - Property, Plant and Equipment. New Zealand: XRB. Retrieved February 08, 2018, from https://www.xrb.govt.nz/accounting-standards/public-sector/pbe-ipsas-17/
Ferri, P., Sidaway, S., & Carnegie, G. (2021). The paradox of accounting for cultural heritage: a longitudinal study on the financial reporting of heritage assets of major Australian public cultural institutions (1992–2019). Accounting, Auditing & Accountability Journal, 34 (4), 983-1012. https://doi.org/10.1108/AAAJ-01-2019-3807
Financial Reporting Council. (2015). FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland. London: FRC. Retrieved February 18, 2018, from http://www.frc.org.uk/getattachment/e1d6b167-6cdb-4550-bde3-f94484226fbd/FRS-102-WEB-Ready-2015.pdf
Hooper, K., Kearins, K., & Green, R. (2005). Knowing “the price of everything and the value of nothing”: Accounting for heritage assets. Accounting, Auditing & Accountability Journal, 18(3), 410-433. https://doi.org/10.1108/09513570510600765
International Council of Museums (ICOM). Frequently asked questions. Retrieved February 02, 2018b, from http://icom.museum/resources/frequently-asked-questions/
International Council of Museums (ICOM). Museum definition. Retrieved February 02, 2018a, from http://icom.museum/the-vision/museum-definition/
International Federation of Accountants. (2006). International Public Sector Accounting Standard 17: Property, plant and equipment. New York: IPSASB. Retrieved June 28, 2014, from https://www.ifac.org/sites/default/files/publications/files/ipsas-17-property-plant.pdf
Landriani, L., & Pozzoli, M. (2014). Management and valuation of heritage asset: A comparative analysis between Italy and USA. London: Springer.
Mautz, R. K. (1988). Monuments, mistakes, and opportunities. Accounting Horizons, 123-128.
Micallef, F., & Peirson, G. (1997). Financial reporting of cultural, heritage, scientific and community collections. Australian Accounting Review, 7(13), 31-37. https://doi.org/10.1111/j.1835-2561.1997.tb00025.x
Ouda, H. A. G. (2014). Towards a practical accounting approach for heritage assets: an alternative reporting model for the NPM practices. Journal of Finance and Accounting, 2(2), 19-33.
Pallot, J. (1990). The nature of public asset: a response to Mautz. Accounting Horizons, 79-85.
Porter, S. (2004). An examination of measurement methods for valuing heritage assets using a tourism perspective. Qualitative Research in Accounting & Management, 1(2), 68-92. https://doi.org/10.1108/11766090410813364
Rua, S. C., & Buch Gómez, E. J. (2012). A valoração dos bens de domínio público: o caso dos municípios portugueses. Contabilidade e Gestão, 12(1), 9-35.
West, B., & Carnegie, G. D. (2010). Accounting’s chaotic margins financial reporting of the library collections of Australia’s public universities, 2002-2006. Accounting, Auditing & Accountability Journal, 23(2), 201-228. https://doi.org/10.1108/09513571011023192
Wild, S. (2013). Accounting for heritage, cultural and community assets: Alternative metrics from a New Zealand Maori Educational Institution. Australasian Accounting Business & Finance Journal, 7(1), 3-22. http://dx.doi.org/10.14453/aabfj.v7i1.2
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2022 Charline Pires, Jorge Katsumi Niyama, Ilse Maria Beuren, Ernani Ott
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
Copyright for articles published in the ASAA Journal is held by the author, with first publication rights to the journal. By virtue of appearing in this publicly accessible journal, the articles are free to use, with their own attributions, in educational and non-commercial applications. The ASAA Journal will allow the use of published works for non-commercial purposes, including the right to submit the work to publicly accessible databases. Published articles are the authors' full and exclusive responsibility. There are no submission/publishing charges or fees for processing articles (APC).
