Chapter 11, Problem 13P

Which of the following statements is true for a foreign company registered with the U.S. SEC to list its stock on the New York Stock Exchange?

a. The company must file an annual report with the SEC that is prepared in accordance with U.S. GAAP.

b. The company may file an annual report with the SEC that is prepared in accordance with IFRS but must also provide a reconciliation of IFRS to U.S. GAAP.

c. The company must file an annual report with the SEC that is prepared in accordance with IFRS but must also provide a reconciliation of IFRS to U.S. GAAP.

d. The company may file an annual report with the SEC that is prepared in accordance with IFRS but need not also provide a reconciliation of IFRS to U.S. GAAP.