ABSTRACT

      Ever since the concept of Accounting is introduced it is undergoing significant changes and in one way Accounting is aimed at streamlining the financial processes and elements. However, the major asset, which undertakes this essential element is Human Resources, is not given proper importance or scope in today’s accounting framework. Though, there were considerable arguments both for and against viewing Human Resources as assets, the behaviourial scientists, who argues, considering Human Resources as assets, have to realize the fact, majority of Human Resource Management practioner and management scholars have advocated that Human Resources‖ should be viewed from investment perspective. Human resources accounting is an accounting analysis system and in the last decade a large body of literature has been published for setting the various procedures for analysis. At the same time from academicians the theory and underlying concepts of accounting measurement have received sizeable attention and a considerable body of literature has developed. The conventional accountings of human resources are not perceived as physical or financial assets. This paper reviews the literature available on the perception of human resource accounting. In worth, previous study have shown and debated various magnitudes related to valuing human resource. For accounting human resources, different models have been developed which are helpful to identify and report investment made in the human resource of an organization that are not presently accounted for under conventional accounting practice.

Keywords: Human Resources, Management, Accounting Treatments, Human Resources and Investment Perspective.