Cash basis financial statements were very common before accrual basis financial statements. A taxpayer using the accrual method (accrual basis taxpayer) recognizes income when earned. Canada also uses Foreign Accrual Property Income rules to obviate certain types of tax avoidance. The United States government uses accrual basis accounting for all of its funds. The revenue recognition principle is a cornerstone of accrual accounting together with the matching principle. Costs are generally considered on a cash (not accrual) basis. The Government disagreed, taking the view that accrual accounting was well established. Larger firms most often operate on an accrual basis. Proprietary funds, used for business-like activities, usually operate on an accrual basis. This kept wages stagnant as profits increased, leading to a snowball effect of capital accrual. Taxpayers may choose or be required to use the accrual method for some activities. This can create problems in the following period when the "mark-to-market" (accrual) is reversed. The Collection / Accrual ratio is 54.04. It regulates the rights, burdens, carrying out duties along with principals of accrual. A useful approach is Eric Kramer's theory of Dimensional Accrual and Dissociation (DAD).