International Financial Reporting Standards Board

944 WordsDec 18, 20144 Pages
With the number of countries that have switched to the International Financial Reporting Standards (IFRS) for their financial reporting, as well as the continued efforts made between the IFRS and US Generally Accepted Accounting Principles (US GAAP), it is evident that international convergence is an overall appealing idea for global reporting. With that said, US GAAP has worked with IFRS to create a universal standard; and while progress has been made to diminish variances between the standards, there are still large, if not unattainable, efforts ahead of us. The hype over a proposed uniform set of global accounting standards appears to be stunted by the lost efforts in the convergence project between the US GAAP and IFRS. As the Financial Accounting Standards Board (FASB) moves forward with its standards setting, there must be a reevaluation of the goal for reporting standards and efforts with the International Accounting Standards Board (IASB). Opinions regarding the optimal direction of the standard boards vary amongst regulators, practitioners, and academics. Many will argue to support continuing efforts for a uniform set of global accounting standards and believe this will drive more efficient international business. Those who are in favor of a global standard consider it to be of global best interest, and that the standard is worth pursuing for the long-term benefit considering the increasing prevalence of cross-border transactions. Recent global effects of
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