Question: As more and more companies span the globe in terms of their operating, financing, and investing activities, they will increasingly turn to international financial reporting

As more and more companies span the globe in terms of their operating, financing, and investing activities, they will increasingly turn to international financial reporting standards when communicating with domestic and non-domestic financial statement readers. What approaches to inflation accounting does IAS 29 sanction when a firm is domiciled or has major operations in a hyperinflationary environment? Why should analysts understand the requirements of this pronouncement?

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