International Financial Reporting Standards

rules-based accounting standards under the U.S. Generally Accepted Principles, with principles-based accounting standards under International Financial Reporting Standards, adoption of IFRS is inevitable. Leading the push for a single set of high-quality International accounting standards is the U.S. Securities and Exchange Commission (SEC), a government appointed body. The SEC’s call to action has prompted the shift away from U.S. GAAP toward the globalization of accounting standards through a…

toward convergence of existing U.S. standards not included in the convergence project to IFRS. This, according to Beswick, would ensure that existing guidance was appropriate for U.S. companies on a standard to- standard basis; when the IASB would issue new standards, FASB would decide whether to adopt them. As described in a May 2011 SEC staff paper, Work Plan for the Consideration of Incorporating International Financial Reporting Standards into the Financial Reporting System for U.S. issuers:…

Although the International Financial Standard Reporting (IFRS) of the International Accounting Standard Board has gained strong support worldwide, IFRS should not be adopted as a global reporting standard. First, the IFRS adoption does not cause rising of globalization, as it supporters may have claimed. Second, IFRS is not superior to other national general accepted accounting principles (GAAP), in particularly to the U.S. rules-based GAAP. Third, IFRS fails to deliver uniformity as a…

The Financial Accounting Standards Board (FASB) has been the assigned organization in a private sector for establishing standards. These standards are important to be useful because it allows investors to make informed decisions. Financial information must be reliable, consistent and transparent. Transparency refers to high-quality financial statements that are clear and easy to understand. Being transparent in financial reporting allows investors, creditors and the market to properly evaluate…

integration of both national and world economy, an absence of a unified and well transparent system of financial reporting will distort investment across national boundaries (Beke, 2010; Epstein, 2009; Meeks and Swann, 2009). Comparatively,…

was financial accounting. It allowed me to grasp the concepts of debits and credits, financial statements, and the accounting cycle. I then took managerial accounting, which taught me about internal reporting. It focused on cost analysis of products and services, budget plans, and performance reports. I was then able to see how these accounting concepts are linked into the financials of a business through my financial analysis and reporting 1 class. For me, this class was a mix of financial and…

issue to how it affects auditors and the challenges that auditors risk in issuing a going concern or not. As Bor-Yi and Sean Chen focus on this article “is to present the relevant issues surrounding the topic of the going concern assumption in financial reporting and auditing.” Bor-Yi and Sean Chen started their article by talking about that the going concern assumption has been under review for the past decade due to many businesses going bankrupt these last ten years such as General Motors…

Principles) to IFRS (International Financial Reporting Standards). Companies, especially in the United States of America, are using a system of inconsistent accounting standards for their financial reporting. That is why FASB encourages most organizations moving to a universal system of reporting. However, the transition affects the financial data, financial compliance controls, financial reporting procedures, performance management networks, training programs and the financial disclosures.…

Financial accounting is used to keep track of money movement within an organization. Businessmen and women must have some familiarity with the world of accounting to prevent problems or mistakes from getting out of control. In the global market of today, an organization’s inability to accurately report financial standing can cause major ripples through the global economy. An underperforming accounting department can ruin a business’ prospects for success in the future. Business leaders must…

They each have their own little nuances depending on transaction that it taken place, but the standards are mostly straight forwards in what the accountants are required to do. This is why it should come as no surprise that the financial disclosures in Swiss GAAP are just a stringent as they are in the US GAAP framework. The disclosure requirements in Swiss GAAP vary by the industry in which the company operates as…