In Finance in a Flat World on page 105, we noted that differences in accounting standards around the world can influence financial ratios Describe how differences in the way goodwill is treated in the United States versus Hong Kong might influence financial ratio comparisons between companies in ea...

When comparing the priceearnings ratios of companies from the U S and Hong Kong we mus ...

In Finance in a Flat World on page 105, we noted that differences in accounting standards around

Question:

In Finance in a Flat World on page 105, we noted that differences in accounting standards around the world can influence financial ratios. Describe how differences in the way is treated in the United States versus Hong Kong might influence financial ratio comparisons between companies in each country.
Goodwill
Goodwill is an important concept and terminology in accounting which means good reputation. The word goodwill is used at various places in accounting but it is recognized only at the time of a business combination. There are generally two types of...