Two innovative features of the new California Corporations Code touch upon the subject of accounting for business combinations: the unprecedented weight given to the authoritative opinions of the accounting profession and the special treatment of "reorganization." The authors argue that, under the new code, it is not permissible as a rule to account for the assets or stock, acquired by the issue of shares in a business combination, in accordance with the pooling of interests method.
Miguel de Capriles and John M. Brown,
Accounting for Business Combinations under the New California Corporations Code,
29 Hastings L.J. 851
Available at: https://repository.uchastings.edu/hastings_law_journal/vol29/iss5/3