Ifrs Essays (Examples)

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International Financial Reporting Standards

Words: 951 Length: 3 Pages Document Type: Essay Paper #: 79010483

International Financial eporting Standards

IFS and Canada

Canada was one of the first prominent nations involved in the North American Free Trade Agreement to consider switching their financial reporting to the International Financial eporting Standards. For years, Canada had been under the pressure of the United States to adopt a system aligned with the GAAP. Still, growing opportunities across the globe made the adoption of the IFS in Canada a better option. It was announced in early 2008 that the move was going to be made in Canada. Canada officially adopted the IFS standards in January of 2011 (PWC, 2014). Actually, the IFS standards were quite similar to the already existing Canadian GAAP standards. Thus the transition, for most businesses, was not extremely different than what they had encountered in the past.

The country made the official decision to adopt the IFS over their own GAAP system came in a…… [Read More]

References

Canadian Institute of Chartered Accountants. (2011). The CICA's Guide to IFRS in Canada. Web.  http://ocaq.qc.ca/pdf/ang/6_presse/infoca/2007/InfoCA1185_Guide_EN.pdf 

Canadian Institute of Chartered Accountants. (2012). IFRS Adoption in Canada: An Empirical Analysis of the Impact on Financial Statements. Web.  http://www.cga-canada.org/en-ca/ResearchReports/ca_rep_2013-10-03_IRFS.pdf 

IFRS. (2013). Canada. IFRS Application Around the World. Web.  http://www.ifrs.org/Use-around-the-world/Documents/Jurisdiction-profiles/Canada-IFRS-Profile.pdf 

PWC. (2013). IFRS Adoption by Country. Web. http://www.pwc.com/en_US/us/issues/ifrs-reporting/publications/assets/pwc-ifrs-by-country-apr-2013.pdf
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Accounting Resources in Any Industry

Words: 1713 Length: 6 Pages Document Type: Essay Paper #: 1738376



Then again, even the sites that allow for such commentary often don't receive any. PwC IFS hasn't received any comments in the past month on any of its articles, for instance, though it does provide accurate and fairly up-to-date information. Part of the reason for this could be the fact that this blog, like many others in the accounting world, are run by large firms -- Price Waterhouse Coopers, in this case. Though this does not mean there is necessarily a bias at work in the blog, and indeed certain differing opinions are allowed, the fact that the information on such blogs is so directly under the control of a single for-profit entity means it must be regarded as at least slightly suspect. As these resources are also free, however, there is no harm in regularly browsing them.

eferences

Accounting and Business esearch. Accessed via EBSCO 8 October 2009.

Accounting…… [Read More]

References

Accounting and Business Research. Accessed via EBSCO 8 October 2009.

Accounting Historian's Journal. Accessed via EBSCO 8 October 2009.

Accounting and the Public Interest. Accessed via EBSCO 8 October 2009.

Accounting Today. Daily print periodical. 2009 issues reviewed.
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Organizations Establish Rules for the Creation or

Words: 1762 Length: 4 Pages Document Type: Essay Paper #: 92181078

Organizations Establish ules for the Creation or Use of Accounting Information:

- Securities and Exchange Commission

- New York Stock Exchange

Internal evenue Service

Describe what kind of rules each makes, why they make them, and how they enforce them. Which organizations make laws, and which publish guidelines? What is the difference? What are the different consequences for those who bend various sets of rules? (Causey Enron case) How might Causey's defense be stronger or weaker under IFS guidelines rather than GAAP?

The rules that govern the three organizations may not be specifically made by that organization, but they are enforced by it. The Securities and Exchange Commission (SEC) is not a law or even rule making body, but the members do suggest legislation and, as one of its main functions, enforces the laws that have been passed by congress (SEC, 2012). The New York Stock Exchange (NYSE) is a…… [Read More]

References

Atwood, T.J., Drake, M.S., Myers, J.N., & Myers, L.A. (2011). Do earnings reported under IFRS tell us more about future earnings and cash flows? Journal of Accounting & Public Policy, 30(4).

Crovitz, L.G. (2008). Closing the information GAAP. Wall Street Journal. Retrieved from http://online.wsj.com/article/SB122083366235408621.html?mod=hpp_us_inside_ today

Ernst & Young. (2010). U.S. GAAP vs. IFRS. Retrieved from http://www.ey.com/Publication/vwLUAssets/IFRS_vs_US_GAAP_Basics_March_ 2010/$FILE/IFRS_vs_US_GAAP_Basics_March_2010.pdf

Fowler, T., & Roper, J.C. (2005, Dec 28). Causey pleads guilty leaving just Skilling, Lay. Houston Chronicle. Retrieved from http://www.chron.com/business/enron/article/Causey-pleads-guilty-leaving-just- Skilling-Lay-1943273.php#page-2
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Turning a Hobby Into a Business

Words: 2618 Length: 8 Pages Document Type: Essay Paper #: 48896447

Turning a Hobby into a Business: This is Where the Cowboy ides Away with a Profit

I was fortunate to spend part of my childhood on a working cattle ranch. I learned how to ride horses, rope, work cattle, shoot, and hunt. Though my uncle, who owned the cattle ranch, sold it when I was still relatively young, I have always considered "cowboying" to be one of my hobbies. I have not pursued the professional rodeo route of my hobby. While I have respect for those men and women that earn their livings in the rodeo, to me, being a cowboy or cowgirl is about having the practical skills one needs to live on a ranch. I have kept in contact with my uncle's old ranch acquaintances, and I have worked part-time on their ranches, keeping up my skills. For a long time, I thought that the skills I acquired…… [Read More]

References

Accounting Coach, LLC. (2012). Income statement. Retrieved November 22, 2012 from Accounting Coach website: http://www.accountingcoach.com/terms/I/income-statement.html

Boer, G. (2001, July 24). A note on the preparation of pro forma financial statements.

Retrieved November 22, 2012 from Owen Graduate School of Management at Vanderbilt University website: http://www2.owen.vanderbilt.edu/Germain.Boer / entrepreneur/Proforma%20Financials/proforma.html

Forgeas, R. (2008, June 16). Is IFRS that different from U.S. GAAP? Retrieved November 22,
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Accounting the Role of Financial Statements in

Words: 906 Length: 3 Pages Document Type: Essay Paper #: 39784246

Accounting

The role of financial statements in investing is that they provide a consistent format that can be used by potential investors and other stakeholders to evaluate a company. There are several components that facilitate this happening. For publicly-traded firms, Generally Accepted Accounting Principles (GAAP) play a key role in the creation of financial statements. GAAP is a common set of accounting principles and procedures that companies use to compile their financial statements (Investopedia, 2012). ith companies having to produce their statements according to a common set of criteria, the information is easier to compare not only between different years at the same company, but also against other firms in the industry and all other publicly-traded firms.

The IFRS is essentially the international version of GAAP. Financial statements in many countries, especially those in Europe, are produced according to IFRS. There are a many areas where GAAP and IFRS diverge,…… [Read More]

Works Cited:

AICPA. (2011). International financial reporting standards (IFRS): An AICPA backgrounder. AICPA. Retrieved March 22, 2012 from  http://www.ifrs.com/pdf/IFRSUpdate_V8.pdf 

Beiersdorf 2011 Annual Report. Retrieved March 22, 2012 from  http://www.beiersdorf.com/GetFile.ashx?id=3243 

Investopedia (2012). Generally Accepted Accounting Principles (GAAP). Investopedia. Retrieved March 22, 2012 from   http://www.investopedia.com/terms/g/gaap.asp #axzz1pmKm2c8C 

Revlon Fiscal Year 2011 Form 10-K. Retrieved March 22, 2012 from http://services.corporate-ir.net/SEC/Document.Service?id=P3VybD1odHRwOi8vaXIuaW50Lndlc3RsYXdidXNpbmVzcy5jb20vZG9jdW1lbnQvdjEvMDAwMTE5MzEyNS0xMi0wNjUzMTAvZG9jL1JldmxvbkluYy5wZGYmdHlwZT0yJmZuPVJldmxvbkluYy5wZGY=
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Accounting Several Terms and Definitions Are Valuable

Words: 895 Length: 3 Pages Document Type: Essay Paper #: 53038561

Accounting

Several terms and definitions are valuable to understand financial statements. In the United States, financial statements of public corporations are produced in accordance with the U.S. Generally Accepted Accounting Principles. These principles govern how the information for financial statements is compiled and presented. The purpose of these principles is so that all stakeholders can easily understand the statements and make comparisons across both time and across different companies, because the statements are produced and presented in a consistent manner. The International Financial eporting Standards (IFS) are the international equivalent of GAAP. While several countries utilize a national version of GAAP (U.S., Canada, UK, etc.), more than 100 countries use IFS, making this set of standards the most widely-adopted in the world. There is a move to converge national GAAP standards with IFS, including a multi-year project to converge U.S. GAAP with IFS. For now, however, IFS represents a different…… [Read More]

References:

No author. (2012). Generally accepted accounting principles (GAAP). Investopedia. Retrieved August 18, 2012 from   http://www.investopedia.com/terms/g/gaap.asp #axzz23vrKSd9Q 

PCAOB.org (2012) PCAOB oversees: The auditors of companies to protect investors. Public Company Accounting Oversight Board. Retrieved August 18, 2012 from  http://pcaobus.org/Pages/default.aspx 

SEC.gov. (2012). The investor's advocate. Securities Exchange Commission. Retrieved August 18, 2012  http://www.sec.gov/about/whatwedo.shtml
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Adaptive Practices

Words: 1068 Length: 3 Pages Document Type: Essay Paper #: 31123514

Adaptive Practices: Global Economy and Accounting Standards

Now that the economy has become much more global, everyone from major corporations to sole proprietorships is able to do business across the country and across the world through the internet. There is no longer any need to only do business in one's home town - or even one's home country - and that makes for all kinds of issues and changes that have to be addressed. One of those issues is the way accounting is handled. The International Financial eporting Standards (IFS) were started back in the 1970s, and many of them have carried forward into the present day (Bradshaw, 2010). They have also been joined by other, newer requirements, most notably between 1989 and 2001 (International, 2007). The Boards that are required to create and care for these standards have also been changed and adjusted over time. Currently, the International Accounting…… [Read More]

References

Bradshaw, M., et al. (2010). Response to the SEC's Proposed Rule- Roadmap for the Potential Use of Financial Statements Prepared in Accordance with International Financial Reporting Standards (IFRS) by U.S. Issuers. Accounting Horizons, 24(1)

Gucenme, U. & Arsoy, A.P. (2005). Changes in financial reporting in Turkey, Historical Development of Inflation Accounting 1960 -- 2005. Special Issue Accounting for the Global and the Local: The Case of Turkey. Critical Perspectives on Accounting, 20(5)

International Accounting Standards Board (2007) International Financial Reporting Standards 2007 (including International Accounting Standards (IAS (tm)) and Interpretations as at 1 January 2007)., LexisNexis
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Implementing New GAAS Standards

Words: 1744 Length: 5 Pages Document Type: Essay Paper #: 34845802

U.S. Auditing Standards and IFS

The International Financial eporting Standards (IFS) are a set of international accounting standards created by the International Accounting Standards Board (IASB). These standards are rapidly becoming the global norm for financial reporting in public entities. ecently, a study led by the International Federation of Accountants (IFA) cited that a convergence to IFS was crucial for the global economic growth and development. Another key driver for the convergence has been the need for reliability in fiscal reporting and accounting (Tapscott, Eccles & Krzus, 2013). With this backdrop, this paper highlights efforts the ASB is making to clarify the auditing standards. It also looks at the differences between ISA's and U.S. Auditing Standards. Finally, the paper reveals how the efforts of the ASB and the IAAB are similar to the FASB and the IASB.

Efforts the Auditing Standards Board making to clarify auditing standards

This is the…… [Read More]

References

Huault, I., & Richard, C. (2012). Finance: The discrete regulator: how finance shapes the world. Basingstoke: Palgrave Macmillan.

Kimmel, P.D., Weygandt, J.J., & Kieso, D.E. (2011). Financial accounting: Tools for business decision making. Hoboken, N.J: John Wiley.

Narayan, F.B. (2012). Diagnostic study of accounting and auditing practices in the Marshall Islands. Manila: ADB.

Tapscott, D., Eccles, R.G., & Krzus, M.P. (2013). One report: Integrated reporting for a sustainable strategy. Hoboken, N.J: Wiley.
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International Accounting Standards Adoption and

Words: 4564 Length: 13 Pages Document Type: Essay Paper #: 56968427

" (Camfferman & Zeff, 2) Indeed, the purpose which seems to stand above many others as specific Standards are examined is the improvement of financial reports as informative documents inbuilt with the capacity to educate users as to the financial disposition and outlook of reporting entities.

The declared purpose of the IFRS is to improve the comparability, clarity, relevance and reliability of accounting processes and the resultant financial reporting across a global scale. (IASC Foundation, Framework) This purpose is directly correlated to the apparent direction in which the global economy has thrust itself across the last few decades, with the deconstruction of trade barriers and the forging of encompassing exchange agreements producing a circumstance where proponents view a categorical necessity in standardizing accounting practices. Therefore, in a discussion on the global applications of the IFRS, which is conducted by a consideration of the adoption challenges, procedures and experiences of some…… [Read More]

Works Cited:

Bentley, L. (2009). IFRS Move Will Cost More in U.S. Than It Did in Europe, Study Says. IT Business Edge. Online at http://www.itbusinessedge.com/cm/blogs/bentley/ifrs-move-will-cost-more-in-us-than-it-did-in-europe-study-says/?cs=31615

Camfferman, N. & Zeff, A. (2007). Financial Reporting and Global Capital Markets. A History of the IASC 1973-2000. Oxford University Press.

Daske, H. (2006). Economic Benefits of Adopting IFRS or USGAAP - Has the Expected Cost of Equity Capital Really Decreased? Journal of Business Finance & Accounting, 33(3-4), 329-373.

Deloitte Touche Tohmatsu (DTT). (2007). Accounting Standards Updates by Jurisdiction: Financial Reporting Framework in Bulgaria. Online at http://www.iasplus.com/country/bulgaria.htm
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Accounting Forms the Overall Backbone of the

Words: 1922 Length: 5 Pages Document Type: Essay Paper #: 77472520

Accounting forms the overall backbone of the financial world. Financial markets are predicated on consumer and user confidence. Without confidence, consumers attempting to make financial decisions will be doing so using inaccurate and incomplete information. The lack of transparency regarding the truthfulness of reported numbers creates uncertainty within the capital markets. This uncertainty regarding the accuracy of information ultimately undermines the overall financial system, causing harm to society in the process. Investors will require higher rates of return, individuals will become unlikely to invest, and innovation could become stifled, harming the quality of life for society overall. Accounting standards, particularly those from the IFRS, are required to help maintain confidence in the reliability of reported financial performance. These standards, such as IFRS , are often amended to reflect the economic realities of business transactions. These changes, although well intended, may often have unintended consequence. This is particularly true for IFRS…… [Read More]

8) Jeffers, Agatha; Mengyu Wei; Sidney Askew (2010). "The Switch from U.S. GAAP to IFRS." Proceedings of the Northeast Business & Economics Association: 48 -- 54

9) Oler, Derek K., Mitchell J. Oler, and Christopher J. Skousen. 2010. "Characterizing Accounting Research." Accounting Horizons 24 (4): 635 -- 670

10) Perks, R.W. (1993). Accounting and Society. London: Chapman & Hall. p. 16. ISBN 0-412-47330-5.
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Economic Globalization Over the Past Twenty Years

Words: 681 Length: 2 Pages Document Type: Essay Paper #: 51226549

economic globalization over the past twenty years sparked demand for a single, worldwide set of high-quality accounting standards" (Benjamin 2012). The SEC's allowance for American companies with international holdings to use IFS supports convergence to some extent by providing an incentive for filers to use IFS. Companies that use IFS can be compliant with both U.S. And international filing requirements, without having to keep 'double books.' All firms with an international scope are now likely to consider using IFS because of its compatibility with U.S. And worldwide standards. Given the globalization of the economy, even small and mid-sized U.S. organizations may begin using IFS, which will make firms which use GAAP more isolated. Convergence will be facilitated, with a likely bias in the new, universal standards towards using IFS with minor (or no) modifications.

Q2. The EU is one of the most powerful trading blocks in the world. The wholesale…… [Read More]

References

Benjamin, Michael. (2012). IFRS convergence: What it means and where it stands. BPM.

Retrieved:

http://www.bpmcpa.com/Library/IFRS-Convergence-Update-Feb-2012.asp#.UT_JkFesf5N

Schneider, Bob. (2013). Accounting basics. Investopedia. Retrieved:
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Convergence Since 2002 the Financial

Words: 1792 Length: 6 Pages Document Type: Essay Paper #: 46506729



1-6 Summary

The accounting convergence project of the FASB and IASB has proceeded slowly, despite a new deadline of 2014 from the SEC. There remain several key issues that are bogging down the conversion process. This dissertation will outline where American public companies stand on this issue. It will attempt to ascertain how much they understand about the convergence process and how prepared they are for full conversion to international financial reporting standards.

orks Cited:

AICPA. (2010). IFRS primer for audit committees. AICPA. In possession of the author.

American Bar Association (2010) Program: International financial reporting standards: Implications of accounting convergence for business lawyers. American Bar Association. Retrieved November 2, 2011 from http://www.americanbar.org/content/dam/aba/publishing/business_law_today/buslaw_blt_content_2010_11_0005.pdf.

Barth, M., Landsman, ., Lang, M. & illiams, C. (2011). Are IFRS-based and U.S. GAAP-based accounting amounts comparable? Stanford University orking Paper No. 78.

Bratton, . (2011). Heedless globalism: The SEC's roadmap to accounting convergence. University of…… [Read More]

Works Cited:

AICPA. (2010). IFRS primer for audit committees. AICPA. In possession of the author.

American Bar Association (2010) Program: International financial reporting standards: Implications of accounting convergence for business lawyers. American Bar Association. Retrieved November 2, 2011 from http://www.americanbar.org/content/dam/aba/publishing/business_law_today/buslaw_blt_content_2010_11_0005.pdf.

Barth, M., Landsman, W., Lang, M. & Williams, C. (2011). Are IFRS-based and U.S. GAAP-based accounting amounts comparable? Stanford University Working Paper No. 78.

Bratton, W. (2011). Heedless globalism: The SEC's roadmap to accounting convergence. University of Cincinnati Law Review. Vol. 79 (2) 470-498.
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Financial Accounting Business Report

Words: 1009 Length: 4 Pages Document Type: Essay Paper #: 59234359

Lease Accounting Changes

The author of this report is asked to answer to three major questions, all relating to the recent changes in accounting for leases under the Australian accounting standard both before and after the country's adherence of the IFS (IFS, 2013). The first point to answer to is the standard prior to the IFS update relating to accounting for leases. The second point is to provide for the present approach taken by the Australian IFS on the question of recognition, measurement, and presentation of leases and the reasoning behind said approach. Finally, a summary of future global developments relating to the changes with the current IASB standard for accounting for leases and how this all might affect the Australian standards going forward is also requested.

Questions Answered

Per a recent publication by PriceWaterhouseCoopers, there is a clear and precise explanation of the changes at hand and how things…… [Read More]

References

AASB. (2013, September 2). AASB - Home. AASB. Retrieved September 2, 2013, from www.aasb.gov.au

Finance Agency. (2013, September 2). Department of Finance and Deregulation. Department of Finance and Deregulation. Retrieved September 2, 2013, from  http://www.finance.gov.au/ 

IFRS. (2013, September 2). IFRS

Home. IFRS
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Rules of IAS 37 Pertain

Words: 1254 Length: 5 Pages Document Type: Essay Paper #: 53883165



Internationally, a broader array of criticism was noted with both exposure drafts, and with certain problems persisting in Exposure Draft #2 that had first been identified in Exposure Draft #1. Specific issues that were brought to the attention of the IASB by many different letter writers included a lack of clarity in the ultimate specific purpose of the proposed amendments, remaining confusion regarding the definition of specific terms and the recording of very specific classes and sets of obligations and situations, and the fact that present-day valuations for many obligations and liabilities that fall under IAS 37 were probably entirely inaccurate, as these liabilities would be discharged when they became due (IASB 2010). In general, these issues were more specific than those cited with Exposure Draft #1.

Given the specific issues that were raised in the comment letters to Exposure Draft #2 as well as the trend that exists in…… [Read More]

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Multinational Acquisition

Words: 1528 Length: 5 Pages Document Type: Essay Paper #: 54479977

Acquisition that I am studying is the Google acquisition of Motorola's mobile business, Motorola Mobility, for $40 per share, or a total of $12.4 billion (Google, 2012). Both companies are active in the mobile communication space, Motorola Mobile in the handset space and Google with its operating system. By acquiring the technology and patents of Motorola Mobile, the latter of which Google valued at $5.5 billion (Reisinger, 2012). The acquisition was made entirely with cash, of which Google has no shortage. There were also significant tax benefits associated with the deal, including the ability to reduce taxes as the result of the ongoing losses at the Motorola Mobility division, which will continue to be run independently. This paper will outline a number of issues pertaining to the accounting elements of this deal. Although both firms are American, they are multinational companies and there will be some theoretical explanation of how…… [Read More]

Works Cited:

Dignan, L. (2013). Google's Motorola purchase: Was it worth it? ZDNet. Retrieved March 2, 2013 from http://www.zdnet.com/googles-motorola-purchase-was-it-worth-it-7000009356/

Google. (2012). Fact's about Google's acquisition of Motorola. Google.com. Retrieved March 2, 2013 from  http://www.google.com/press/motorola/ 

PWC. (2010). Accounting for business combinations. Price Waterhouse Coopers. Retrieved March 2, 2013 from http://www.pwc.com/us/en/issues/business-combinations/assets/accounting-business-combinations-nci.pdf

Reisinger, D. (2012). Google: Motorola's patents, tech are worth $5.5 billion. C/Net. Retrieved March 2, 2013 from http://news.cnet.com/8301-1023_3-57479646-93/google-motorolas-patents-tech-are-worth-$5.5-billion/
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Business Plan for a Market

Words: 1665 Length: 6 Pages Document Type: Essay Paper #: 83134472

This can be defined at the system level of the consultancy's network architecture. Finally the firewall of the systems will be defined also through the definition of system parameters throughout the network operating system running the entire firm (Malecki, 2012). There will be little resistance to change for each of these implementations as they are designed to protect and streamline the work being completed in the firm. There will also be a clearer sense of accountability over data security once the Practice Leaders and senior consultants realize that if they accidentally lose their iPhone, iPad or laptop all data will be erased immediately, which forces them to be more vigilant how they uses these systems and also how they are backed up.

Impact of the egulatory Environment

As the proposed research and advisory firm is a private corporation, it does not need to comply with the Sarbanes-Oxley (SOX) Act as…… [Read More]

References

Cox, J. (2009). iPhone winning over it security skeptics. Network World, 26(34), 1-1,12.

Hamblen, M. (2012). iPhone 5: Pros and cons in the enterprise. Computerworld, 46(17), 6-6.

Henry, E., Lin, S., & Ya-wen Yang. (2009). The European-U.S. "GAAP gap": IFRS to U.S. GAAP form 20-F reconciliations. Accounting Horizons, 23(2), 121-150.

Malecki, F. (2012). Next-generation firewalls: Security with performance. Network Security, 2012(12), 19-20.
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Accounting Convergence Among Public Companies

Words: 624 Length: 2 Pages Document Type: Essay Paper #: 72889768

As, the Delphi methodology will help us to determine the various opinions of the experts. While qualitative research will organize these views and allow us to study different aspects of the problem. This is the point that we will be taking a more balanced approach in dealing with these issues. (What is Qualitative Research 2010)

Purpose/Perceived Value

The purpose of this study will help us to understand specific factors. That are affecting why so many businesses, are opposed to implementation of IFRS standards. Once this takes place, we will then look at possible solutions for addressing these issues and what steps can be taken to increase compliance. These elements are important, because the combination of them will help us to understand all aspects of the problem. This is the point that we will have a full comprehension of the issues and the challenges associated with implementing any kind of changes.…… [Read More]

Bibliography

Delphi Method, 2011, Business Dictionary. Available from: [29 September 2011]

The Path to IFRS Conversion, 2010, Deloitte and Touche.

Summaries of International Reporting Standards, 2011, Deloitte. Available from: [29 September 2011].

What is Qualitative Research, 2011, QSR International. Available from: [29 September 2011]
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Reporting of Capital and Operating Leases and

Words: 1730 Length: 6 Pages Document Type: Essay Paper #: 59747766

reporting of capital and operating leases and their impact on fair value measurements. The essay surveys lease accounting standards from 1976 thru the present.

The basic principle of lease accounting is that some leases are merely rentals, while others are in effect purchases. U.S. regulations that specify lease accounting rules are issued by the Financial Accounting Standards Board (FASB). The primary FASB statement on leases was Number 13, issued in 1976, and is also known as FAS 13, SFAS 13 and FASB 13. Over the years it has been amended several times by additional FAS, including FAS 22, FAS 23, FAS 27, FAS 28, FAS 29, FAS 98, and FAS 121. In addition to financial accounting standards, various interpretations and technical bulletins have also been issued to provide additional guidance. Lease accounting rules were previously labeled as section L10 in the FASB Current Text, while the new FASB Codification uses…… [Read More]

Works Cited

Epstein, Barry J. "Accounting for Leases IFRS vs. GAAP. " IFRS Accounting. 2011. 16 September 2011. .

"History of Lease Accounting (Agenda Paper 2)." Joint International Working Group on Leasing. International Accounting Standards Board and Financial Accounting Standards Board. London. 15 February 2007.

"Leases (Topic 840)." Financial Accounting Standards Board. August 17, 2010: 1. Financial Accounting Foundation. 2011. 16 September 2011. .

"Lease Accounting Rules." Financial Computer Systems, Inc. 2007. 16 September 2011. .
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Accounting Profession One Thing That

Words: 795 Length: 3 Pages Document Type: Essay Paper #: 85945746

This will of course change the methods in which companies in the U.S. do their accounting and report financial information, but a change in accounting methods should not lead to a major change in the way these companies actually perform their business.

If the transition to IFRS rather than GAAP is expected to change a company's business practices, it is only a sign that the transition needs to be made that much sooner. If a company makes business decisions based on the way it will be able to report that decision's financial effects, rather than on the real value of that decision, there is clearly something wrong with the accounting methods the company is using. The recent financial meltdown largely caused by questionable accounting practices (and tangentially exacerbated by a lack of international standardization in these practices) is definitely evidence that such practices need to be changed, and with an…… [Read More]

"AmEx profit triples, beating expectations."  http://money.cnn.com/2010/01/21/news/companies/American_Express_earnings/ 

This article describes the unexpected profit gains that New York-based credit card company American Express made in the fourth quarter of 2009. Though revenue remained flat when compared to the same quarter in 2008, near the height of the global recession, the six-and-a-half billion dollars that the company saw was nearly half-a-billion more than expected. This led to a profit of seven hundred and sixteen million, or sixty cents per share, in the three-month period. Much of this is due to a rise in consumer spending with the use of their AmEx cards, which rose for the first time in over a year during the fourth quarter of 2009. The percentage of credit card payments defaulting or failing to be made also dropped significantly in the quarter, boosting the company's earnings.

Though this is considered a significant improvement in the company's situation, analysts warn that the company could still see hard times as record unemployment levels continue to hurt many consumers, in both their willingness to spend and their ability to make their credit card payments. Although American Express is showing greater profits and revenue, it actually posted a larger revenue in the fourth quarter of 2008, with significantly higher earnings per share than the profits of the past quarter brought to investors.
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Business How Would You Characterize the Differences

Words: 747 Length: 2 Pages Document Type: Essay Paper #: 33280106

Business

How would you characterize the differences in corporate structuring and ownership rights for various countries around the world?

There are different ownership types. People can structure their businesses or organizations under one of several organizational structures. The types include: sole proprietorship; general partnership (composed of two or more persons who agree to contribute money, labor, and/or skill to a business and run it together); a limited liability company (LLC) (formed by one or more individuals or entities through a special written agreement that details the structure of the LLC); a Corporation; a limited partnership; and a limited liability partnership (LLP).

A limited partnership is composed of one or more general partners and one or more limited partners. The general partners manage the business and share in its profits and losses. The limited partners share in the profits of the business, but losses are limited to the extent of their…… [Read More]

Sources

CPA The Development of International Standards on Auditing http://www.nysscpa.org/cpajournal/1999/1099/Features/F141099.htm

Peter L. Rousseau and Richard Sylla (2003), Financial Systems, Economic

Growth, and Globalization

 http://www.nber.org/chapters/c9594.pdf
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Research of Emerging Accounting Issues

Words: 1735 Length: 5 Pages Document Type: Essay Paper #: 43397907

.....mission of the Emerging Issues Task Force (EITF) exerts upon the Financial Accounting Standards Board (FASB)

The Emerging Issues Task Force (EITF) was established with the main purpose of addressing and coming up with resolve for current issues being faced by professionals in the accounting field, which were not addressed by announcements of the Financial Accounting Standards Board (FASB). Prior to the establishment of ETIF in 1984, the FASB constantly faced challenges of not being able to offer well-timed and sensible solutions to developing practice problems. The EITF was therefore designed to disseminate and propagate carrying out guidance within the structure of the Accounting Standards Codification to decrease multiplicity when it comes down to it on a well-timed basis. In their field of profession, accountants experience a wide range of issues that are not comprehensively addressed in accounting pronouncements, and, which necessitate prompt resolve. In addition, such professionals insist that…… [Read More]

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Accounting Convergence the State of

Words: 608 Length: 2 Pages Document Type: Essay Paper #: 52900563



Purpose/Perceived Value

The findings of this report will be valuable to two different audiences. The first consists of accounting regulatory bodies. These bodies are working towards convergence and are presently struggling with the resistance from the business community. Understanding the nature of that resistance is key to finding ways of overcoming it. For the large publicly traded corporations themselves, this report will help them understand why they and their peers are resistant, and this will shed light on whether or not that resistance is justified. Convergence is coming whether the corporate world is ready for it or not, but the key for corporations is to understand what convergence is, why it is important, and which elements of their resistance are not worth the effort. For both parties, it is important to work together to make the convergence process as smooth as possible, and that is going to take a greater…… [Read More]

Works Cited:

Qu, X. & Zhang, G. (no date). Measuring the convergence of national accounting standards with International Financial Reporting Standards: The application of fuzzy clustering analysis. Xiamen University. In possession of the author.

Larson, R. & Street, D. (2004). Convergence with IFRS in an expanding Europe: Progress and obstacles identified by large accounting firms' survey. Journal of International Accounting, Auditing and Taxation. Vol. 13 (2004) 89-119.

AICPA. (2011). International Financial Reporting Standards (IFRS): An AICPA backgrounder. American Institute of CPAs. In possession of the author

AICPA (2010). Financial system considerations in IFRS conversion projects. American Institute of CPAs. In possession of the author.
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Conservatism in Accounting Valuation Accounting

Words: 6022 Length: 18 Pages Document Type: Essay Paper #: 1894474

That was the year that significant changes were made in the Securities Act and the rules for bringing class action lawsuits were adjusted and modified. Because of those changes, it became more important from a litigation standpoint to ensure that conservatism was used in accounting valuation. Because there are empirical differences between the contracting and litigation perspectives, there have been many discussions regarding them in the past and that will likely continue well into the future. Each accounting firm must do what it feels is in the best interest of both itself and its clients, but the avoidance of lawsuits is a highly significant issue to consider when a company is planning to focus on a particular accountancy option.

C. Income Tax Perspective

Because income taxes are so closely tied to earnings, it only stands to reason that there would be an accounting valuation issue as it relates to conservatism…… [Read More]

References

Ahmed, A.S., B. Billings, M.S. Harris and R.M. Morton. 2001. Accounting conservatism and cost of debt: An empirical test of efficient contracting. Working paper, Syracuse University.

Ahmed, A.S., R.M. Morton and T.F. Schaefer. 2000. Accounting conservatism and the valuation of accounting numbers: Evidence on the Feltham-Ohlson (1996) model. Journal of Accounting, Auditing & Finance 15 (Summer): 271-292.

American Institute of Certified Public Accountants, Committee on Accounting Procedures (AICPA). 1939. Accounting Research Bulletin 2.

Antle, R. And R. Lambert. 1988. Accountants' loss functions and induced incentives for conservatism. In Economic Analysis of Information and Contracts: Essays in Honor of John Butterworth, edited by G. Feltham, A. Amershi, and W. Ziemba. Boston, MA: Kluwer Academic Publishers.
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Alternative Methods of Accounting

Words: 1118 Length: 4 Pages Document Type: Essay Paper #: 78397802

alternative accounting methods that have become increasingly popular. There are various merits and demerits of obtaining each of the accounting method for a firm however a company must choose the accounting method carefully as it proves to be a vital decision for the success of a company.

Accounting Methods are the guidelines and the basic rules based on which the businesses prepare and maintain their financial records. There have been a vast development in the accounting methods and practices over the years; however the two main accounting methods remain the same which are a) IFS (International Financial eporting Standards) b) U.S. GAAP (Generally Accepted Accounting Principle)

IFS (International Financial eporting Standards) were deigned to cater to the globalization of the businesses by providing an accounting method which is comparable and understandable beyond the regional boundaries. It was initiated to standardize the accounting methods for European nations by the European Council,…… [Read More]

References:

Ball R. (2006). International Financial Reporting Standards (IFRS): pros and cons for investors. Accounting and Business Research

Crovitz, L. Gordon (2008-09-08). "Closing the Information GAAP." The Wall Street Journal.

International Accounting Standards Board (2007): International Financial Reporting Standards 2007, LexisNexis,

Jeffers, Agatha; Mengyu Wei, Sidney Askew (2010). "The Switch from U.S. GAAP to IFRS." Proceedings of the Northeast Business & Economics Association
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Autodine Restaurants Business Plan

Words: 1932 Length: 6 Pages Document Type: Essay Paper #: 90609987

Business Description

The business created is an automated restaurant. Autodine Restaurant is a business venture that is expected to flourish and prosper in the forthcoming periods. This is an advanced business idea purposed to appeal to consumers within the market. The restaurant will provide meals and services similar to any 4-star hotel within the nation, and providing exclusive meals every Friday night. The general staffing plan is that human beings will cook the meals served within the restaurant. The rest of the work such as washing dishes, cleaning floors and serving of meals to the customers will be automated. The robots undertaking these services will be fully functional, being able to hear and understand different languages conveyed by consumers and being able to communicate in return (Cumming, 2012). In addition, the robots will be programmed to welcome the clients at the reception. This is meant to add to the appeal…… [Read More]

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Studied Appeared a Business Accounting Publications A

Words: 948 Length: 3 Pages Document Type: Essay Paper #: 72879217

studied appeared a business accounting publications. A partial list publications article selected: The Accounting eview, Barrons, Wall Street Journal, Business Week, Fortune, Barrons, and Wall Street Journal.

GAAP article review:

Crovitz, Gordon L. (2008, September 8).Closing the information GAAP. The Wall Street

Journal. etrieved November 22, 2010 at http://online.wsj.com/article/SB122083366235408621.html

GAAP article review:

Crovitz, Gordon L. (2008, September 8).Closing the information GAAP. The Wall Street

Journal. etrieved November 22, 2010 at http://online.wsj.com/article/SB122083366235408621.html

The Wall Street Journal is famous for its pro-business, conservative editorials. So perhaps it is no surprise that in 2008, Journal editorial writer Gordon L. Crovitz praised the Securities and Exchange Commission (SEC)'s decision to mandate a shift to international accounting standards, in a phasing out of GAAP (Generally Accepted Accounting Principles) by 2016 for all U.S. firms. The Journal writer said that this was reflective of the "remarkably quickening pace of acceptance of a true lingua franca for…… [Read More]

Reference

Crovitz, Gordon L. (2008, September 8).Closing the information GAAP. The Wall Street

Journal. Retrieved November 22, 2010 at http://online.wsj.com/article/SB122083366235408621.html

Gibson, Scott. (2008, October). LIFO vs. FIFO: A return to the basics. RMA Journal. Retrieved November 22, 2010 at http://findarticles.com/p/articles/mi_m0ITW/is_2_85/ai_n14897182/
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Eitf as Relates to the FASB the

Words: 1715 Length: 6 Pages Document Type: Essay Paper #: 80366834

EITF as relates to the FASB

The Emerging Issues Task Force, abbreviated as the EITF, was formed in the year 1984. The EITF works to assist the FASB (Financial Accounting Standards Board) to improve financial reporting by providing timely identification, identification, discussion and resolution of issues in accounting which are within the FASB framework known as the Accounting Standards Codification. The framework represents the source of authoritative standards of accounting in general and reporting and is to be applied to nongovernmental entities. They are issued side by side to those of the SEC (Securities Exchange Commission) Beresford, 1998()

The EITF promulgates the guidance of implementation of financial and reporting procedures within the FASB framework in order to reduce the diversity in practice on a basis that is timely. The EITF was also created to minimize the need of the FASB to spend crucial effort and time to address narrow issues…… [Read More]

References

Beresford, D.R. (1998). THE FASB'S ACCOMPLISHMENTS TO DATE: ONE PARTICIPANT'S VIEWS. The Accounting Historians Journal, 25(2), 151-166.

Emerging Issues Task Force. (2012). Description and Status of Current Issues Retrieved May 20th, 2012, from  http://www.fasb.org/ jsp/FASB/Page/SectionPage&cid=1218220137528

Financial Accounting Standards Board. (2012). Statement of Cash Flows (Topic 230): Not-for-Profit Entities: Classification of the Sale of Donated Securities in the Statement of Cash Flows a consensus of the FASB Emerging Issues Task Force. Connecticut: Financial Accounting Standards Board.

May, J., Paul, R., & Uhl, B. (2009). EITF Snapshot. Greenville: Deloitte & Touche LLP.
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Business Plan the Business That I Am

Words: 1738 Length: 5 Pages Document Type: Essay Paper #: 73838016

Business Plan

The business that I am going to start is a small coffee microroastery and shop. The company will perform two basic functions. The first is a product function, the roasting of coffee beans. Green beans will be received by the company, roasted, and then both used in the shop and made available for a variety of retail channels. The second function will be a service function, based on the production and serving of beverages and light snacks. The staffing plan will be simple. The owner/manager/roaster will perform most of the management tasks associated with the shop. There will be an assistant manager who doubles with barista duties, as well as 4-6 part-time staff members, filling 3 FTEs in the barista/service function. This plan is based on experiences at other, similar operations, in addition to meeting a few other needs. One is the need to keep costs down, and…… [Read More]

Works Cited:

Inc. (2000). Cash vs. accrual accounting. Inc. Magazine. Retrieved November 13, 2012 from  http://www.inc.com/articles/2000/04/19194.html 

IRS.gov (2012). Limited liability company (LLC). Internal Revenue Service. Retrieved November 13, 2012 from http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Limited-Liability-Company-%28LLC%29

KPMG. (1999). Internal control: A practical guide. KPMG. Retrieved November 13, 2012 from www.ecgi.org/codes/documents/kpmg_internal_control_practical_guide.pdf

Perez, W. (2012). Types of business organization. About.com. Retrieved November 13, 2012 from http://taxes.about.com/od/taxplanning/a/incorporating_2.htm
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IASB the International Accounting Standards Board IASB

Words: 1195 Length: 4 Pages Document Type: Essay Paper #: 42208337

IASB

The International Accounting Standards Board (IASB) currently has three types of active projects on their agenda. These include an agenda consultation project, financial crisis related projects, and memorandum of understanding projects. The following is a summary of these current active projects, their timetables established for the achievement of milestones, as well as the conceptual frameworks involved in the projects.

The first type of project currently active on the agenda of the IASB is an agenda consultation project in which the IASB initiated a formal public agenda consultation for the first time in July 2011. This consultation was focused on the future work plan of the IASB, and was aimed at obtaining input from the public regarding the work plan and its direction and balance. The agenda consultation was conducted with broad public participation, including awareness through conferences in Europe, North America, and South America, in which small group meetings…… [Read More]

References

IFRS. (2011) http://www.ifrs.org/Current+Projects/IASB+Projects/IASB+Work+Plan.htm. Retrieved 8 November, 2011.

Whittington, G. (2008). Fair value and the IASB/FASB conceptual framework: an alternative view. Abacus, 44(2), 139-68.
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International Accounting

Words: 749 Length: 2 Pages Document Type: Essay Paper #: 93503078

Hedging may be used to reduce risk. The three predominant types of hedging activities are fair value hedges, cash flow hedges, and foreign currency hedges. In this assignment, you will examine how hedging activities are reported.

Download (attached file) and complete the computational problem, which illustrates hedge computations. how or explain the calculations.

The current price of his bushel slightly decreased in July at $9.98 and then increased in December at $10.09.

In July, he sold 100,000 bushels at $9.99 with spot price being $10.00. He lost nothing.

In December the spot price was $9.98; the price decreased. He sold at $9.95 per bushel and actually made a profit of $4,000.

In December, however, the spot price for soybeans ($10.09) was higher than his future offset price making it non-profitable for him, $10,000

He won $4,000, he lost $1,000. His liability was $6,000

Compare and contrast the requirements for investments…… [Read More]

Sources

Deloitte IAS 39 -- Financial Instruments: Recognition and Measurement http://www.iasplus.com/en/standards/standard38

FASB Summary of Statement No. 133. Accounting for Derivative Instruments and Hedging Activities (Issued 6/98)

 http://www.fasb.org/ summary/stsum133.shtml

NY Times, (2012) Derivatives http://topics.nytimes.com/top/reference/timestopics/subjects/d/derivatives/index.html
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Business Plan Description of the Business the

Words: 2458 Length: 8 Pages Document Type: Essay Paper #: 59203893

Business Plan

Description of the Business

The business is a gourmet candy shop. The shop will sell gourmet candy that has been sourced from all over the world. The shop will operate with one storefront location, and there will be an Internet/mail order component as well.

The rationale for the business is simply. There is a growing trend towards hedonistic approaches to dining. We have seen in the past few years the rise of the bacon fetish, high end craft beer and coffee, cupcakes, the move of fine dining to the mass market and a full embrace by Americans of better quality indulgent goods. Much of this trend can be credited to the aging of the population, as people seek to maximize pleasure. They have the financial means to treat themselves, and seek to balance this hedonism with a desire to be healthy. The intersection of these ideals is where…… [Read More]

References

Bailey, E. (2013). Pros and cons of incorporation. Suite101.com. Retrieved November 14, 2013 from http://suite101.com/a/pros-and-cons-of-incorporation-a42401

FASB. (2013). International convergence of accounting standards. Financial Accounting Standards Board. Retrieved November 14, 2013 from  http://www.fasb.org/ jsp/FASB/Page/SectionPage&cid=1176156245663

IRS.gov. (2013). Publication 946. Internal Revenue Service. Retrieved November 14, 2013 from http://www.irs.gov/publications/p946/ar02.html#en_US_2012_publink1000270861

NCA. (2013). Profile of the U.S. candy industry. National Confectioners' Association. Retrieved November 14, 2013 from http://www.candyusa.com/content.cfm?ItemNumber=1607
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Should Countries Adopt an International Reporting System

Words: 2057 Length: 7 Pages Document Type: Essay Paper #: 61439875

International Financial Reporting Standards or IFRS

This refers to a set of accounting standards created and introduced by the International Accounting Standard oard or IAS (Centroid 2013). The objective is establish a single global standard for producing financial statements for all public enterprises (Centroid).

Positive and Negative Consequences of International Accounting Harmonization

The harmonization of international accounting is envisioned to enhance business decisions and to assert influence over the economic milieu (eke 2010). When it proves workable and effective, harmonization will produce new types of analysis and data and integrate indicators, which characterize how businesses in certain countries are managed. As it is, subsidiaries of multinational companies utilize national accounting rules in converting and consolidating frameworks of unified financial statements in reporting them. The application of a precise or suitable international accounting system will be helpful to such multinational businesses in the conduct of their managerial functions globally (eke).

Interpreting…… [Read More]

BIBLIOGRAPHY

Beke, J. 2010. 'International accounting harmonization: evidence from Europe,' International

Business and Management [Online] Available at http://www.palgrave.com/page/detail/international-accounting-harmonization-jeno-beke/?

Centroid, 2013. 'What is IFRS and what does it mean to you', Centroid {Online] Available at http://www.centrid.com/services/IFRS

EC, 2012. 'International Financial Reporting Standards 1.' European Commission [Online]
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Barriers and Challenges to Institution

Words: 6571 Length: 24 Pages Document Type: Essay Paper #: 20299865

Preparers, auditors, and users of financial statements must encourage and support compliance with the substance and form of the international standards; (3) the adoption and implementation of the international standards require action at both the national and international levels. At the national level, it is important that governments, regulators, and national standard setters place international convergence as a priority on their agendas. At the international level, it is important that the international standard setters establish processes and procedures that facilitate national input and lead to the development of high quality standards that are globally accepted; (4) Finally, it is clear that to achieve international convergence, action is necessary at all points along the information supply chain that delivers financial reporting. Boards of directors and management, who have the primary responsibility for financial reporting, as well as auditors, standard setters, regulators, and other participants in the financial reporting process, such as…… [Read More]

References

ACCA Chief Executive Calls for Revamp of IFRS Standards (2007) Association of Chartered Certified Accountants. 2007. Online available at http://www.accaglobal.com/archive/news/general/2422215

Diaconu, Paul and Coman, Nicoleta (2007) Accounting Research from the Globalization Perspective. International Journal of Social Sciences Vol. 1 No. 2, 2007. Online available at http://www.waset.org/ijss/v1/v1-1-5.pdf

FASB and IASB Agree to Work Together toward Convergence of Global Accounting Standards (2002) Business Wire 29 October 2002. Online available at http://findarticles.com/p/articles/mi_m0EIN/is_2002_Oct_29/ai_93509154

Hegarty, John; Gielen, Frederic; and Barros, Ana Christina Hirata (2004) Implementation of International Accounting and Auditing Standards: Lessons Learned from the World Bank's Accounting and Auditing ROSC Program. September 2004. Online available at  http://www.worldbank.org/ifa/LessonsLearned_ROSC_AA.pdf .
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Johnson Sarah 2008 April 4

Words: 909 Length: 3 Pages Document Type: Essay Paper #: 58451241



hese preferences aside, American multinationals like PepsiCo and Procter & Gamble, are examining how a possible shift away from GAAP would affect their revenue recognition, taxation, and hedge accounting in the near and far future. In many cases, the overall, self-interested impression is positive as IFRS tend to make a company's returns look higher. But for smaller U.S. companies without an outreach abroad, the advantages of a switch to IFRS are less clear, as they have not been keeping two books all along like multinationals. More time-consuming (an estimated 18-24 months) headaches and paperwork as companies switch to IFRS seem likely -- and a tremendous financial drain is almost certain upon all organization's revenues during the period of transition. "Procter & Gamble hasn't pinned down an exact number, but expects a conversion project would cost tens of millions of dollars" (Johnson 2008, p. 2). European companies who have already switched…… [Read More]

These preferences aside, American multinationals like PepsiCo and Procter & Gamble, are examining how a possible shift away from GAAP would affect their revenue recognition, taxation, and hedge accounting in the near and far future. In many cases, the overall, self-interested impression is positive as IFRS tend to make a company's returns look higher. But for smaller U.S. companies without an outreach abroad, the advantages of a switch to IFRS are less clear, as they have not been keeping two books all along like multinationals. More time-consuming (an estimated 18-24 months) headaches and paperwork as companies switch to IFRS seem likely -- and a tremendous financial drain is almost certain upon all organization's revenues during the period of transition. "Procter & Gamble hasn't pinned down an exact number, but expects a conversion project would cost tens of millions of dollars" (Johnson 2008, p. 2). European companies who have already switched from their local systems to IFRS estimated that they spent an average 0.05% of their revenue in their first year of switching from their local standards to IFRS (Johnson 2008, p. 2).

Additionally, not all U.S. firms will show higher profits if there is a total transition to IFRS. International standards bar the use of LIFO (last in, first out) accounting, which confers sizable tax benefits to some companies in many industries. However, like it or not, a shift away from GAAP seems to be the trend of the future: even smaller European companies which chafed at the retreat from their homegrown GAAP were forced to comply eventually. "The EU's smaller companies, with less exposure to IFRS, took longer to respond to the mandate. Many didn't get serious until the year before filings were due…there's something to be said for taking a wait-and-see approach and letting the standard-setters continue to work on convergence" (Johnson 2008, p.2). Methods of revenue recognition, accounting for pensions and leases, and financial-statement presentation are all points of controversy between the two systems at present within the U.S.

Yet the difficulties of the transition, particularly for U.S. firms, may be overstated: "it is apparently much easier to transition from a more prescriptive set of standards to one that allows more judgment" (Johnson 2008, p.3). Because America's GAAP is so rigorous in nature, U.S. companies may experience less heartache than their European counterparts who transitioned from less scrupulous local standards to international standards. The benefits of a homogeneous international standard will likely be enjoyed by all in the very long run in this global economy, but the transition may be painful for some firms -- and more financially gut-wrenching for smaller U.S. institutions than large ones.
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Southwest Airlines What Types of Budgets Would

Words: 1551 Length: 5 Pages Document Type: Essay Paper #: 13772629

Southwest Airlines. What types of budgets would you recommend for the company? Why?

Currently, the type of accounting standard that is being utilized by Southwest Airlines is Generally Accepted Accounting Principals (GAAP). This is the basic benchmark that has been implemented by many U.S. companies to more accurately account for: their budgets, expenses, assets and liabilities. Over the years, it has become common for most corporations to follow these different standards. ("2010 Annual Report," 2010) ("Generally Accepted Accounting Principles," 2011)

However, Southwest takes this process one step further by also including Pro Forma accounting standards as an alternate way of evaluating the company. This is when you are anticipating that certain events have occurred in the future and are listing them as revenues in the current quarter (such as: future earnings on a large contract that was signed). The idea with using this approach is to see how these revenues…… [Read More]

Bibliography

2010 Annual Report. (2010). Southwest Airlines. Retrieved from; http://phx.corporate-ir.net/External.File?item=UGFyZW50SUQ9ODk3NDZ8Q2hpbGRJRD0tMXxUeXBlPTM=&t=1

Generally Accepted Accounting Principles. (2011). Investopedia. Retrieved from:  http://www.investopedia.com/terms/g/gaap.asp 

Pro-Forma. (2011). Business Dictionary. Retrieved from:  http://www.businessdictionary.com/definition/pro-forma-invoice.html 

US GAAP vs. IFRS. (2009). Ernest and Young. Retrieved from: http://www.ey.com/Publication/vwLUAssets/IFRS_v_GAAP_basics_Jan09/$file/IFRS_v_GAAP_basics_Jan09.pdf
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Key Features of the Current Accounting Standard

Words: 3031 Length: 10 Pages Document Type: Essay Paper #: 36778664

IAS 17 Leases

Explain the key features of the current accounting standard. You should use at least one illustrative example for lessee accounting from a published set of financial statements to illustrate the effect of the standard

IAS 17 accounting standard establishes and elucidates the pertinent accounting procedures and also disclosures that are supposed to be employed in accounting by lessors and also lessees. The lessor is the owner of the underlying asset while the lessee is the party that opts to make use of the asset at that point in time. One of the key features of the accounting standard is the classification between an operating lease and a finance lease. A financial lease is a contract or agreement whereby all of the risks and the rewards that are characteristic to the ownership of the asset are transferred to the lessee. On the other hand, an operating lease is…… [Read More]

References

IFRS, May 2013, Exposure Draft Leases, IFRS Foundation.

IFRS, May 2013, Exposure Draft Leases: Illustrative Examples, IFRS Foundation.

International Accounting Standard 17: Leases. IFRS Foundation.

Epstein, B.J., Jermakowicz, E. K, 2008, Wiley IFRS 2008: Interpretation and Application of International Accounting Financial Reporting Standards. Hoboken: John Wiley and Sons, Inc.
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Globalization Has Been Pushing Many Countries to

Words: 792 Length: 2 Pages Document Type: Essay Paper #: 16596636

globalization has been pushing many countries to create standards for accounting procedures that can be used around the globe. This is designed to improve transparency and the accuracy of financial information that is being provided (IFRS guidelines). To fully understand how this is taking place we will examine the differences between IFRS and GAAP standards. This will be accomplished by carefully examining the accounting procedures used by Apple and Philips. Once this occurs, is when we will have the greatest insights as to underlying differences between both procedures.

Is there a difference in approach to valuation by U.S. GAAP and IFRS?

To fully understand the dissimilarities between the two standards we will examine several different factors to include: the way an expense / asset are accounted for, how current / long-term assets are calculated and the way current / long-term liabilities are determined. Once this takes place is when we…… [Read More]

Bibliography

2010 Annual Report. (2011), Philips. Retrieved from: http://www.annualreport2010.philips.com/downloads/index.asp?link_origin=global_en_ar2010_tailoredaccess

Apple 2011 Earnings. (2011). Apple. Retrieved from: http://files.shareholder.com/downloads/AAPL/1601237473x0xS1193125-11-282113/320193/filing.pdf

Capitalization. (2011). Business Dictionary. Retrieved from:  http://www.businessdictionary.com/definition/capitalization-cap.html 

Comparing the Differences between IFRS and U.S. GAAP. (2011). McGladrey. Retrieved from: http://mcgladrey.com/IFRS-Bulletins/Comparing-Differences-Between-IFRS-and-U.S.-GAAP-in-the-Treatment-of-Intangible-Assets
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International Accounting and Auditing Standards

Words: 1877 Length: 6 Pages Document Type: Essay Paper #: 72735239

Accounting

International Accounting and Auditing Standards

International public sector accounting standards (IPSAS) are developed and put forth by the International Public Sector Accounting Standards Board of the International Federation of Accountants (IFAC). International private sector accounting standards are known as International Financial Reporting Standards (IFRS). They are put together and put forth by the International Accounting Standards Board (IASB), a self-governing standard generating body of the International Accounting Standards Committee Foundation. The IFRS for SME's is a self enclosed standard, intended to meet the requirements and abilities of small and medium-sized entities (SME's), which are anticipated to comprise over ninety five per cent of all corporations worldwide. It is constructed on the basis of full IFRSs, yet, a lot of the principles for distinguishing and gauging assets, liabilities, earnings and expenses have been cut down, subjects not relevant to SME's have been left out, and the amount of necessary revelations…… [Read More]

Works Cited

Barth, Mary E. "Global Financial Reporting: Implications for U.S. Academics." Accounting

Review 83.5 (2008): 1159-1179. Business Source Premier. EBSCO. Web. 6 July 2011.

Hail, Luzi, Christian Leuz, and Peter Wysocki. "Global Accounting Convergence and the Potential Adoption of IFRS by the U.S. (Part II): Political Factors and Future Scenarios

for U.S. Accounting Standards." Accounting Horizons 24.4 (2010): 567-588. Business
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Accounting Standards in Use Throughout the World

Words: 653 Length: 2 Pages Document Type: Essay Paper #: 8015970

accounting standards in use throughout the world in the next 5 years?

The need for a universal set of accounting standards was recognized years ago, the origins of which can traced back to early twentieth century where practitioners in the U.S. And elsewhere failed to implement uniform accounting principles. The call for uniformity went stronger when the U.S. stock market crashed in 1929. It was firmly believed by then that there should be uniform accounting standards which would limit the use of professional judgments made by the management and hence will enhance the comparability of the financial statements (Previts and Merino, 1998, pp. 161 et seq.). Subsequently, when the world's leading financial countries faced cases like Enron and others, the need for consistent and comparable financial reporting became paramount. The need become more evident with dramatic increase of cross-border transactions, multinational corporations, foreign direct investments comparable as well as increase…… [Read More]

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Accounting Report for Referral Credit

Words: 927 Length: 5 Pages Document Type: Essay Paper #: 82672728

How should the $25 Referral Credit be recorded in Runway's income statement?

In accordance to ASC 605-50-45 Revenue Recognition, a cash consideration handed to a consumer by a vendor or retailer is deemed a decrease in the selling prices of the products or services retailed. This would imply that these cash considerations would be deemed as an expense and a decline in the revenue to be generated by the vendor. Nonetheless, the cash consideration can be deemed as an expense if it solely meets two requirements. First, the cash consideration has to give rise to an identifiable benefit that is separable from the purchase of the recipient, in the sense that the vendor could have achieved the benefit through a third party, and not the purchaser. Secondly, the value that is provided has to be reasonably approximated by the vendor (IAS Plus, 2016).

In this case, Runway does meet these…… [Read More]