This report highlights the similarities and differences between the US GAAP and AASB standards in regards to intangible assets other than research and development and equity financial instruments. Subsequently addressed problems with these categories are: measurement problems (intangible assets) and classification problems (equity instruments). These complicate investment decision-making as they create loopholes for companies to boost profits or perhaps relaxing debt-to-asset constraint in accordance with Positive Accounting Theory, one of our research methods. We have also used empirical evidence. We have demonstrated how these accounting practices are practically applied to eight listed companies in service industry.