FASB

The owner of capital in AT is a principal or investor who is risk loving or, at worst, risk neutral. To the AT risk lover Bayes Theorem would recommend that accountants supply good information to help investors revise their priors about expected payout (product of probability multiplied by reward) because that is how risk loving investors rank their investment alternatives. To the EMH risk averse investor Bayes Theorem would recommend that accountants supply good information …

…redictability because they live in a world where everyone lies. Hence historical cost information, the hardest and most verifiable of all, is preferred, especially if it's audited. Society at large pays for the production of good accounting information and the deal is that society at large should also benefit from it in a free market. In an AT and EMH world this better be wealth, in an IT world it can be trust too.