Chapter One Introduction to International Accounting Learning Objective 1. Understand the nature and scope of international accounting. 2. Describe accounting issues created by international trade. 3. Explain reasons for‚ and accounting issues associated with‚ foreign direct investment (FDI). 4. Describe the practice of cross-listing on foreign stock exchanges. 5. Explain the notion of global accounting standards. 6. Examine the importance of international trade‚ FDI‚ and
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under U.S. GAAP? Describe how U.S. GAAP determines whether an intangible asset is included in the balance sheet. iii. Briefly describe how the accounting for intangibles differs under IFRS. To answer this question‚ you might use the Internet and search for IAS 38‚ the standard pertaining to intangible assets. In particular‚ explain the accounting for internally generated intangibles under IAS 38. *****Internally developed intangibles are not recognized as assets under IAS 38 and IFRS. However
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playing that profit and loss. The Ministry of Finance requires companies to following the China GAAP. China has experienced exponential growth and foreign capital investment in the past few decades. Previously companies maintained multiple sets of books to abide with the Chinese GAAP‚ for taxes and their foreign investors. To simplify the reporting China has amended its GAAP making it in line with IFRS requirement. Czech Republic: The Czech Republic is a small‚ yet stable European nation. The Czech
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find that differences in accounting practices across countries hinder their financial analysis and affect their investment decisions. Some analysts cope with this problem by restating foreign financial statements to a familiar basis‚ such as U.S. GAAP. A. Another coping mechanism is to base analysis on a measure of performance from which many accounting issues have been removed‚ such as EBITDA. V. Analysts should exercise care in interpreting ratios calculated for foreign companies
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History of Establishment of GAAP. Discuss CAP‚ APB‚ FASB‚ and related pronouncements. (AICPA adapted). Accounting Principles. Define accounting principles. Discuss sources of GAAP. (CMA adapted). Standard Setting. Describe why there is political action and social involvement in the standard setting process. Organization of the FASB. Summarize the structure of the FASB‚ its documents (GAAP pronouncements)‚ and its operating procedures. GAAP and the AICPA. Summarize the GAAP-related documents published
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Revenue recognition on FASB and IASB convergence process I. CONVERGENCE OF U.S. GAAP AND IFRS Since 2002‚ Financial Accounting Standards Board (FASB) and International Accounting Standards Board’s (IASB) have been working toward “convergence” of US General Accepted Accounting Principles (GAAP) and International Financial Reporting Standards (IFRS). They have made significant progress in efforts to converge critical accounting standards such as those dealing with revenue recognition‚
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1) Explain the difference between the attorney-client privilege and the accountant-client privilege. Why is this important distinction? Why do you think that the law doesn’t provide the same level of privilege for accountants as it does for attorneys? • The different between the attorney-client privilege and the accountant-client privilege is the communication. The attorney is protected by law‚ and the accountant is protected by state statute. They both are required to have the permission of the
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business organization. True False 2. The Canadian Business Corporations Act mandates that all incorporated companies in Canada follow IFRS. True False 3. Private companies in Canada may choose between IFRS or ASPE. True False 4. Canada has adapted its own pre-existing standards for public companies to IFRS‚ while the U.S has adopted IFRS completely. True False 5. External users of a company’s financial statements may have conflicting objectives. True False 6.
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IASB (International Accounting Standards Board). We are going to start this paper with the different classification researches‚ taking for example Hofstede and Gray’s studies. Then we will draw the main differences between GAAP (Generally Accepted Accounting Principles) and IFRS (International Financial Reporting Standards). We will also speak about the Americanocentrism problem. To finally dealing with the differences and harmonization. *Two Main Example*s* of Past Studies*: *Hofstede’s* societal
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of a company. “GAAP cover such things as revenue recognition‚ balance sheet item classification and outstanding share measurements.” (http://www.investopedia.com) Abercrombie and Fitch’s headquarters is based out of New Albany‚ Ohio. The company has over 300 stores that operate within the United States. Even though the company is headquartered in the US it does have operations abroad. Even though Abercrombie and Fitch have locations abroad they will follow GAAP vice the IFRS. Abercrombie and
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