Learning the fundamentals of Islamic accounting
Professor Roger Willett, a lecturer and researcher at the School of Accounting and Commercial Law, has co-authored the book 'Principles of Islamic Accounting'.
The recently-published book, covering the fundamentals of Islamic accounting in the English language, is an introductory text useful for students and professionals new to Islamic accounting or who want to improve their knowledge of banking and finance in the Islamic area.
Professor Roger Willett says interest in Islamic accounting is growing and it is becoming an increasingly important aspect of business, and globalisation has resulted in a surge in business partnerships and transactions across cultural boundaries around the world.
"Islamic accounting is shaped by the Islamic religion. For Muslims, religious and economic affairs are considered to be intimately connected. Accounting is more than a technical activity, it’s also a cultural activity and in Islam, religion plays an important part in the formation of accounting practices.
"By better understanding Islamic accounting principles, professionals in non-Muslim countries can more effectively work with their counterparts in Muslim countries."
Covering everything from basic transaction analysis to the preparation of financial statements, Principles of Islamic Accounting serves as a broad framework and showcases how Islamic values can influence the disclosure of financial information.
"Much of the form and procedures that are mentioned in the book are the same as in Western accounting. But there are differences in cultural norms," says Professor Willett.
"My interest is in international accounting and the way in which religion and culture affect the theory and practice of accounting."
Professor Willett worked with a diverse group of fellow scholars on this book, who brought their specialist knowledge and expertise to its subject-matter. Professor Nabil Baydoun from Hamdan Bin Mohammed Smart University in Dubai, Professor Maliah Sulaiman from International Islamic University Malaysia, and Associate Professor Shahul Hameed Bin Mohamed Ibrahim from the University of Kuala Lumpur co-authored the book.
Professor Willett first met Professor Baydoun at the University of Otago many years ago, which was when his interest in cultural and religious aspects of accounting began.
"When I first met Nabil, we discussed many matters relating to Islamic economics, accounting and finance. This book has been many years in the making."
The authors have contributed to Islamic accounting research and used their extensive teaching, research and standard setting experience in preparing this book for specialists and more general university and professional courses in Islamic accounting.