Will There Be One Set of Accounting Standards in Use Throughout the World in the Next Five Years?

Will there be unrivaled set of accountancy standards in use throughout the world in the succeeding(prenominal) tail fin years? There is a global squawk for standardization of accounting standards. Today, this standard is known as planetary pecuniary Reporting Standards (IFRS). Is it very common for non-U.S. companies to be listed on the untried York declension Exchange. This makes the need for an accounting standard learnment in order for monetary reporting to be unsounded on an international level. Standardization is already taking indicate in the world, the U.S. simply needs to follow suit. The U.S. Securities and Exchange foreign committee ( indorsement) now allows foreign companies that are listed in the New York buy in Exchange to use IFRS. In prior years the instant required such companies to reconcile their financial statements prepared under home country standards to U.S. generally accepted accounting principles (GAAP) (Mintz, 2010). The point to allow foreign companies to report IFRS shows a social movement in the direction of standardization. There are presently over one C countries that fork over select IFRS. The United States has non yet adopted this standard as we are currently using U.S. GAAP.

However, in February 2010, the SEC released an announcement in cite to its stance on supporting and their belief that a wholeness global accounting standard will benefit U.S. investors. This appeared to be the U.S.s primary step in the direction of adopting IFRS. Although this movement has been underway for 40 years, it has not yet been adopted. In my opinion, and with the enqui! ry I have been able to compile, it appears that we are moving forward. I do not feel that 5 years fourth dimension is an appropriate revolution period. That is, implementation of the new standards will require education and training, adapting entropy processing procedures, an understanding of how they will displace the presentation of the financial statements and consideration of presentation alternatives.(Woods, 2012) According to Mintz (2010),...If you privation to get a full essay, order it on our website: OrderCustomPaper.com

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