Question: *Question 3 A 2016 article by Alison Parker, CPA and Cheryl Hartfield, CPA, both executive editors of PPC products for the Tax & Accounting business

 *Question 3 A 2016 article by Alison Parker, CPA and Cheryl

*Question 3 A 2016 article by Alison Parker, CPA and Cheryl Hartfield, CPA, both executive editors of PPC products for the Tax & Accounting business of Thomson Reuters reflects on the arguments for and against US companies following International Financial Reporting Standards rather than US GAAP. Two of the arguments both for and against this development are as follows: Arguments for 1. IFRS provides a single global accounting language. 2. The US is currently well-represented in the IFRS standard-setting process with three seats on the 14-member IASB. Arguments against 1. Principles-based standards with a lack of industry-specific or transactional guidance may decrease the quality and consistency of reporting. 299 2. The IFRS standard-setting process is potentially subject to influence by political forces, which could lead to conflicts and inconsistent practices between jurisdictions. *Question 3 A 2016 article by Alison Parker, CPA and Cheryl Hartfield, CPA, both executive editors of PPC products for the Tax & Accounting business of Thomson Reuters reflects on the arguments for and against US companies following International Financial Reporting Standards rather than US GAAP. Two of the arguments both for and against this development are as follows: Arguments for 1. IFRS provides a single global accounting language. 2. The US is currently well-represented in the IFRS standard-setting process with three seats on the 14-member IASB. Arguments against 1. Principles-based standards with a lack of industry-specific or transactional guidance may decrease the quality and consistency of reporting. 299 2. The IFRS standard-setting process is potentially subject to influence by political forces, which could lead to conflicts and inconsistent practices between jurisdictions

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!