In 2008 the IASB and FASB are working on a joint project to develop a single standard for business combinations with the objective of having the same standard whether an organization adopts IFRS or US GAAP Currently FASB Statement 141 deals with business combinations in the United States disallowing the pooling method requiring all business combinations to be accounted for using the purchase method Financial reporting for business combinations can be substantially different depending on the stan

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In October 2002 the FASB and the IASB issued the Norwalk Agreement which marked a significant step towards formalising their commitment to the convergence of US and international accounting standards ... View the full answer