The instrumentalization of prudence. The resale of Manufrance's real estate (1970s-1980s).

Summary This article offers an accounting perspective on prudence. While the accounting principle of prudence was conceived as a mode of evaluation at the service of industrial capitalism and its sustainability, we show how it can be instrumentalized depending on the context. Through the case study of a large French company, Manufrance, in the early 1980s, we show how the principle of prudence can be used in practice for completely opposite purposes. Based on the study of the resale of Manufrance's real estate assets, we investigate how the non-recognition of unrealized capital gains allows for the generation of short-term profits and the liquidation of a firm in a certain opacity.