Modern economies must learn

Accounting conventions require that capital is accounted for in the balance sheet of the enterprise, and expenditures and incomes in the profit-and-loss account.

- ARUN MAIRA

This is universal for all corporate enterprises, be they business ventures, government agencies or 'non-profit' organizations. Businesses account for their assets of land, machinery and money in the bank on their balance sheets. Human beings appear only in profit-and-loss accounts. Wages and other costs associated with their employment are shown as expenditures.