The Porn Dude

Carney’s accounting change reduces transparency, accountability

Shaquille Oatmeal

Well-known member
Jun 2, 2023
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Many countries and some states in the US use the kind of accounting Carey has proposed (separating capital expenses from operating expenses).
It isn't radical or new.
 

DesRicardo

aka Dick Dastardly
Dec 2, 2022
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Many countries and some states in the US use the kind of accounting Carey has proposed (separating capital expenses from operating expenses).
It isn't radical or new.
Your statement is wrong. You can't just create your own accounting rules.

Carney knows this, but more importantly he knows people like you don't.

Elbows up and Enjoy your Debt.
 

Shaquille Oatmeal

Well-known member
Jun 2, 2023
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Your statement is wrong. You can't just create your own accounting rules.
No, I am not wrong.
Dual budgeting is used by many countries.
Here is a list:
- Australia
- New Zealand
- UK
- France
- Sweden
- Finland
- Germany
- Chile
And many other US states.
 

DesRicardo

aka Dick Dastardly
Dec 2, 2022
3,688
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No, I am not wrong.
Dual budgeting is used by many countries.
Here is a list:
- Australia
- New Zealand
- UK
- France
- Sweden
- Finland
- Germany
- Chile
And many other US states.
And this is the problem. People that don't know will act like they know and mislead the public.

You saying Carney can change Public Accounting Policy at his own digression. He can't.

He knows, but you don't. Elbows and Debt up.
 

Shaquille Oatmeal

Well-known member
Jun 2, 2023
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You saying Carney can change Public Accounting Policy at his own digression. He can't.
There is nothing called a "public accounting policy" that mandates categorizing expenses in a certain way or recommends an accounting method.
There is however a Public Sector Accounting Standard and Carney's separating OPEX and CAPEX is consistent with this standard.
 

JohnLarue

Well-known member
Jan 19, 2005
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Your statement is wrong. You can't just create your own accounting rules.

Carney knows this, but more importantly he knows people like you don't.

Elbows up and Enjoy your Debt.

yes money spent is money spent

separating operating expense from capital / investment expenses is sound accounting only if you stick to the sound principal of never running an operating defict

debt should only be used for capital / investment and the cash flows from the capital / investment need to be aligned with the debt payments

the issue is the liberals have been running huge operational deficits and borrowing heavily to cover the deficits and that is non-sustainable
Carney is going to increase the size of the operational deficits and play smoke and mirrors with the dim witted liberal supporters

as stated by DesRicardo
Elbows up and Enjoy your Debt.
 

DesRicardo

aka Dick Dastardly
Dec 2, 2022
3,688
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There is nothing called a "public accounting policy" that mandates categorizing expenses in a certain way or recommends an accounting method.
It's literally called "Public Accounts".

You're comments are null and void after that one.

There is however a Public Sector Accounting Standard and Carney's separating OPEX and CAPEX is consistent with this standard.
Lets see what Carney's platform has to say about this.

-To do that we will separate capital and operating spending within the government, and back this with a change in legislation that will be supported by new powers and resources for the Parliamentary Budget Office. This new approach will not change how Canada’s public accounts are built and will maintain generally accepted accounting principles. It will create a more transparent categorization of the expenditure that contributes to capital formation in Canada. This is also consistent with the public finance practices of other advanced economies such as the United Kingdom.

From the horses mouth, he is not actually changing anything. He can't. He knows it, you don't.

What he is doing is creating his own reporting to avoid talking about debt and present what he wants, how he wants.

People like you will believe it's a standard. Smart people know better.
 
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Shaquille Oatmeal

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Jun 2, 2023
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It's literally called "Public Accounts".

You're comments are null and void after that one.


Lets see what Carney's platform has to say about this.

-To do that we will separate capital and operating spending within the government, and back this with a change in legislation that will be supported by new powers and resources for the Parliamentary Budget Office. This new approach will not change how Canada’s public accounts are built and will maintain generally accepted accounting principles. It will create a more transparent categorization of the expenditure that contributes to capital formation in Canada. This is also consistent with the public finance practices of other advanced economies such as the United Kingdom.

From the horses mouth, he is not actually changing anything. He can't. He knows it, you don't.

What he is doing is creating his own reporting to avoid talking about debt and present what he wants, how he wants.

People like you will believe it's a standard. Smart people know better.
You seem confused.
Public Accounts of Canada are the annual financial reports.
Separating OPEX and CAPEX are expense categorizations that show up on such financial reports.
As you have quoted yourself, the new approach adopted by Carney does not violate accounting principles that are governed by the PSAS.
Which is what I said as well.
So Carney's proposal is sound and it does provide more transparent categorization.
It is like an itemized invoice vs an invoice that lumps all expenses into one.
Obviously the itemized invoice is more transparent.
 
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DesRicardo

aka Dick Dastardly
Dec 2, 2022
3,688
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You seem confused.
Public Accounts of Canada are the annual financial reports.
Separating OPEX and CAPEX are expense categorizations that show up on such financial reports.
As you have quoted yourself, the new approach adopted by Carney does not violate accounting principles that are governed by the PSAS.
Which is what I said as well.
So Carney's proposal is sound and it does provide more transparent categorization.
It is like an itemized invoice vs an invoice that lumps all expenses into one.
Obviously the itemized invoice is more transparent.
squidward.gif

This new approach will not change how Canada’s public accounts are built and will maintain generally accepted accounting principles.
 

DesRicardo

aka Dick Dastardly
Dec 2, 2022
3,688
4,092
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Yes, Carney's categorization of expenses into OPEX and CAPEX aligns with accepted accounting principles.
That is what I said.
You don't seem to have a point here.
You even said stated it yourself using the term dual budget.

Dual budgeting is used by many countries.
There is no dual budget, It's one official budget. Has and Always will be.

He's creating his own standard to avoid talking about escalating debt. That's what it is.

He can spend all kinds of money and present it as a "Capital Investment". If you can't see the flaw in this accounting process there is nothing to talk about with you.
 

DesRicardo

aka Dick Dastardly
Dec 2, 2022
3,688
4,092
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Oh god.
Dual Budgeting is a term that means separating operating and capital expenses, which is what Carney is doing.
He can spend all kinds of money and present it as a "Capital Investment". If you can't see the flaw in this accounting process, there is nothing to talk about with you.
 
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Shaquille Oatmeal

Well-known member
Jun 2, 2023
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He can spend all kinds of money and present it as a "Capital Investment". If you can't see the flaw in this accounting process, there is nothing to talk about with you.
He is separating the expenses to avoid such criticism.
Capital investments are ones that produce long term benefits and he will have to articulate those benefits.
Eg: Housing, infrastructure etc.,
Which is more clear? An itemized invoice or a non-itemized one?
 
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the general

Active member
Oct 31, 2010
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There we go, what?
As I said, you are just complaining for the sake of it.
Mark my word, Carney is going to claim he balanced the budget once the operational side is balanced, which it might already be, since we don't know exactly what investments are within the existing budget. Government don't budget like this, they expense everything, but they do indicate what their investments are in general. It is just a way for Carney the Conman, to Con you thinking his is fiscally responsible. And you've already fallen for it.
 
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