Question

research questions for human resource accounting and objective ???

Answer 1

Human Resource Accounting and Objective – Human resource accounting is the process of identifying and reporting investment made in the human resource of any organization . that are presently unaccounted for in the conventional accounting practices . HRA mainly comprises three aspects – 1) measurement and valuation of Human resources 2) recording the valuation in the books of account 3) communicating the relevant information through financial statement

At present use multiple method while accounting Human resource cost like – a) Historical cost approach – under this approach actual cost incurred on recruiting , hiring , training and development are capitalized and amortised over expected useful life of the human resources . This method is simple to understand but some difficulties like calculate number of years over which the capitalized cost is to be amortised .

Other than Historical method , Company followed Replacement cost approach + Opportunity cost method

Objectives – the human resource process was established to fulfil a number of objective like below :

1. Cost value information for making proper and effective management decision about acquiring , developing , maintaining Human resource in order to achieve cost effective organization
2. Effective use of human resource by the Management
3. Complete analysis of the Human Asset
4. Development of management principles and proper decision making for future