2021 Volume 18 Pages 247-263
This paper tries to clarify the reasons for the introduction of the Commercial Code accounting regulations of 1890 by describing the process Japanese Commercial Code’s process, which established in 1890, based on previous studies of the legal history.
The results showed that the determinants of the Commercial Code of 1890 were as follows.
First, Karl Friedrich Hermann Roesler proposed the preparation of inventory and balance sheet and the valuation of property at market value, referring to the commercial laws of French and German.
Second, for the political and diplomatic reasons, the government chose to enact a commercial law based on Roesler’s Draft, which was the most practical.
Third, Although there were concerns in accounting practice with respect to the property inventorying and mark-to-market provisions, it was decided that if problems with the implementation of the accounting regulations arose, the Commercial Code would be amended as soon as possible to address them.
