The Politics of Setting Standards for Financial Reporting

Institutional Fit ◽

The United Kingdom ◽

Political Dimensions ◽

Business Survey

This chapter examines the political dimensions of setting standards for global financial reporting. Drawing on the results of an international business survey, conducted among hundreds of chief financial officers and other senior financial managers of companies listed on the main stock exchanges in France, Germany, the United Kingdom, and the United States, the chapter asks whether institutional fragmentation of accounting governance in Europe impedes the effective aggregation of European interests and their projection onto the international stage, while the close institutional fit between the International Accounting Standards Board (IASB) and the Financial Accounting Standards Board (FASB) significantly facilitates the representation of American interests. It shows that U.S. firms are considerably more successful than their European counterparts when they try to influence international financial reporting standards.

Accounting for leases – lessons from COVID-19

Pacific Accounting Review ◽

10.1108/par-09-2020-0186 ◽

2021 ◽

Vol ahead-of-print (ahead-of-print) ◽

Author(s):

Alan Teixeira

Keyword(s):

Financial Reporting ◽

Design Methodology ◽

Accounting Standards ◽

Financial Accounting ◽

Reporting Standards ◽

Content Type ◽

Setting Process

Purpose The International Accounting Standards Board (IASB) and Financial Accounting Standards Board (FASB) have given relief to lessees in response to the coronavirus (COVID-19) pandemic. However, it is not clear why any relief from the requirements in International Financial Reporting Standards (IFRS) or the Accounting Standards Codification (ASC) should be necessary. The purpose of this paper is to highlight weaknesses in how the IASB and FASB developed their leases Standards, and why those Standards are not robust enough to cope with a shock to the economic system. Design/methodology/approach The COVID-19 relief suspends some features of the leasing requirements rather than changing them. What if other economic or regulatory events cause the same circumstances to arise? Findings Have COVID-19 exposed weaknesses in the leasing standards that should have been avoided when they were developed or is COVID-19 the problem? Originality/value Analysis of actual board discussions and staff papers is unusual and provides insights into the standard-setting process.

Ruckman, Inc.: Converting from U.S. GAAP to IFRS

Issues in Accounting Education ◽

10.2308/iace-10020 ◽

2011 ◽

Vol 26 (2) ◽

pp. 341-360 ◽

Cited By ~ 7

Author(s):

Rebecca Fay ◽

John A Brozovsky ◽

Patricia G Lobingier

Keyword(s):

Financial Reporting ◽

Accounting Standards ◽

Financial Statements ◽

The United States ◽

Securities And Exchange Commission ◽

High Demand ◽

Accounting Courses ◽

Cpa Exam ◽

Two Phases

ABSTRACT This case is designed as a comprehensive review of significant differences between accounting principles generally accepted in the United States of America (U.S. GAAP) and International Financial Reporting Standards (IFRS) for specific topics covered during most Intermediate Accounting courses. The task requires you to analyze and evaluate a company's significant accounting policies for compliance with IFRS as you plan and conduct the conversion of a firm's financial statements from U.S. GAAP to IFRS. The skills developed throughout this case are currently in high demand as IFRS is quickly becoming the global norm in accounting standards and many multinational companies based in the U.S. are already affected by these standards. The Securities and Exchange Commission (SEC) has developed a roadmap that may require U.S. companies to begin adopting IFRS in 2015. You will be tested on your knowledge of IFRS on the CPA exam. The case is presented in two phases, allowing you to experience the conversion process from planning to execution.

An Evaluation Of The Implementation Of Fair Value Accounting: Impact On Financial Reporting

Journal of Business & Economics Research (JBER) ◽

10.19030/jber.v9i1.934 ◽

2011 ◽

Vol 9 (1) ◽

Author(s):

Karen T. Cascini ◽

Alan DelFavero

Keyword(s):

Financial Reporting ◽

Accounting Standards ◽

Fair Value ◽

The United States ◽

Financial Accounting ◽

Financial Assets ◽

Continuous Change ◽

Fair Value Accounting ◽

The Cost

The accounting industry is in a state of continuous change.  In the United States, the historical cost principle has traditionally been the foundation of accounting.  Until recently, assets and liabilities have been required to be recorded at their acquisition prices, with the exception of designated financial assets and financial liabilities.  However, the Financial Accounting Standards Board (FASB) has now created accounting standards that are distant from the cost principle.  Statement of Financial Accounting Standards No. 157: Fair Value Measurements, issued in September 2006 (FAS157, now codified as ASC 820) and Statement of Financial Accounting Standards No. 159: The Fair Value Option for Financial Assets and Financial Liabilities, created in February 2007 (FAS159, now ASC 825-10-25), significantly increases the viability of fair value accounting. The purpose of this paper is to illustrate the benefits and pitfalls of fair value and the corresponding affects on various stakeholders.

Should The SEC Adopt International Financial Reporting Standards?

Review of Business Information Systems (RBIS) ◽

10.19030/rbis.v16i1.6760 ◽

2011 ◽

Vol 16 (1) ◽

pp. 15-20

Author(s):

Clemense Ehoff Jr. ◽

Dov Fischer

Keyword(s):

Financial Reporting ◽

Accounting Standards ◽

Financial Accounting ◽

International Financial Reporting Standards ◽

Reporting Standards ◽

Best Interest ◽

Public Companies ◽

Generally Accepted Accounting Principles ◽

Financial Reporting Standards

In 2002, the Financial Accounting Standards Board (FASB) and the International Accounting Standards Board (IASB) formally began a process to converge Generally Accepted Accounting Principles (GAAP) and International Financial Reporting Standards (IFRS). By the end of 2011, the SEC will likely decide on whether to adopt International Financial Reporting Standards as the financial reporting system for U.S. public companies, continue with the convergence project, or reject IFRS altogether. This paper examines the benefits and drawbacks of each option and formulates a recommendation as to which option is in the best interest of U.S. investors.

An analysis of fundamental concepts in the conceptual framework using ontology technologies

South African Journal of Economic and Management Sciences ◽

10.4102/sajems.v17i4.525 ◽

2014 ◽

Vol 17 (4) ◽

pp. 396-411 ◽

Cited By ~ 1

Author(s):

Marthinus Cornelius Gerber ◽

Aurona Jacoba Gerber ◽

Alta Van der Merwe

Keyword(s):

Conceptual Framework ◽

Financial Reporting ◽

Formal Language ◽

Design Science ◽

Accounting Standards ◽

Science Research ◽

Financial Accounting ◽

Reporting Practices ◽

Financial Reporting Standards

The interpretation of financial data obtained from the accounting process for reporting purposes is regulated by financial accounting standards (FAS). The history and mechanisms used for the development of ʻThe Conceptual Framework for Financial Reporting’ (the Conceptual Framework) as well as the financial accounting standards resulted in impressive volumes of material that guides modern financial reporting practices, but unfortunately, as is often the case with textual manuscripts, it contains descriptions that are vague, inconsistent or ambiguous. As part of the on-going initiatives to improve International Financial Reporting Standards (IFRS), the International Accounting Standards Board (IASB) promotes the development of principle-based IFRS, which aim to address the problems of vagueness, inconsistency and ambiguity. This paper reports on the findings of a design science research (DSR) project that, as artefact, developed a first version ontology-based formal language representing the definitions of asset, liability and equity (the fundamental elements of the statement of financial position as defined in the Conceptual Framework) through the application of knowledge representation (ontology) techniques as used within computing. We suggest that this artefact may assist with addressing vagueness, inconsistencies and ambiguities within the definitions of the Conceptual Framework. Based on our findings, we include suggestions for the further development of a formal language and approach to assist the formulation of the Conceptual Framework. The project focuses on the Conceptual Framework for Financial Reporting after the incorporation of Phase A in the convergence project between the Financial Accounting Standards Board (FASB) and IASB.

Response to the SEC’s Proposed Rule—Roadmap for the Potential Use of Financial Statements Prepared in Accordance with International Financial Reporting Standards (IFRS) by U.S. Issuers

Accounting Horizons ◽

10.2308/acch.2010.24.1.117 ◽

2010 ◽

Vol 24 (1) ◽

pp. 117-128 ◽

Cited By ~ 14

Author(s):

Mark Bradshaw ◽

Carolyn Callahan ◽

Jack Ciesielski ◽

Elizabeth A. Gordon ◽

Leslie Hodder ◽

...

Keyword(s):

Financial Reporting ◽

Accounting Standards ◽

Financial Statements ◽

Financial Accounting ◽

International Financial Reporting Standards ◽

Reporting Standards ◽

Near Term ◽

Potential Use

SYNOPSIS: The Financial Reporting Policy Committee of the Financial Accounting and Reporting Section of the American Accounting Association (hereafter, the AAA FRPC or the committee) is charged with responding to discussion memoranda and exposure drafts on financial accounting and reporting issues. This response is to the SEC’s proposed rule, Roadmap for the Potential Use of Financial Statements Prepared in Accordance with International Financial Reporting Standards (IFRS) by U.S. Issuers. Based on a review of the literature, the AAA FRPC has concluded that a move to an international set of financial reporting standards is a desirable goal. We have also concluded that continued convergence of U.S. GAAP with IFRS by joint relations between the International Accounting Standards Board (hereafter, IASB) and the Financial Accounting Standards Board (hereafter, FASB) is preferable to near-term adoption of IFRS as a strategy for convergence.

THE IMPORTANCE OF THE CONVERGENCE OF INTERNATIONAL ACCOUNTING STANDARDS TO THE NATIONAL ACCOUNTING SYSTEM OF UZBEKISTAN

World Science ◽

10.31435/rsglobal_ws/31012019/6301 ◽

2019 ◽

Vol 2 (1(41)) ◽

pp. 19-22

Author(s):

Ergasheva Shahlo Turgunovna ◽

Shermatov Behzod Xalimkul

Keyword(s):

Financial Reporting ◽

Accounting Standards ◽

Stock Exchanges ◽

Accounting System ◽

Accounting Systems ◽

Foreign Investors ◽

National Accounting ◽

Speed Up

The actuality of the research:-Economic integration-Comparability & uniformity of financial statements-Attracting potential foreign investors.-The requirement of the world financial markets & stock exchanges. -The decreasing of costs of learning local standards.-The aim of research are:-Carrying out the improvement of our accounting systems to speed up the development of our country with the help of foreign investors’ capital.Developing our national accounting standards based on international financial reporting standards and to reveal the problems associated with this.

Why The SEC Is Delaying Adoption Of International Financial Reporting Standards

International Business & Economics Research Journal (IBER) ◽

10.19030/iber.v12i2.7635 ◽

2013 ◽

Vol 12 (2) ◽

pp. 223 ◽

Cited By ~ 1

Author(s):

Clemense Ehoff Jr. ◽

Dov Fischer

Keyword(s):

Financial Reporting ◽

Accounting Standards ◽

Financial Accounting ◽

International Financial Reporting Standards ◽

Reporting Standards ◽

Public Companies ◽

Generally Accepted Accounting Principles ◽

Financial Reporting Standards

In 2002, the Financial Accounting Standards Board (FASB) and the International Accounting Standards Board (IASB) formally began a process to converge Generally Accepted Accounting Principles (GAAP) and International Financial Reporting Standards (IFRS). The SEC has repeatedly delayed its decision on whether to adopt International Financial Reporting Standards as the financial reporting system for U.S. public companies, continue with the convergence project, or reject IFRS altogether. This paper will examine several key reports issued by the SEC and the Financial Accounting Foundation to gain further insight into 1) why the SEC has repeatedly delayed its decision, and 2) what the SEC will ultimately decide.

An analysis of SEC comment letters and IFRS

Journal of Financial Reporting and Accounting ◽

10.1108/jfra-02-2016-0015 ◽

2017 ◽

Vol 15 (2) ◽

pp. 226-244 ◽

Cited By ~ 1

Author(s):

Cheryl L. Linthicum ◽

Andrew J. McLelland ◽

Michael A. Schuldt

Keyword(s):

Financial Reporting ◽

Accounting Standards ◽

Securities And Exchange Commission ◽

Annual Reports ◽

Content Type ◽

Generally Accepted Accounting Principles ◽

The Usa ◽

Comment Letters

Purpose This study investigates the influence of the Securities and Exchange Commission (SEC) on the interpretation and application of International Financial Reporting Standards (IFRS) by examining a group of SEC-selected foreign private issuers filing 2005 annual reports in the USA and reporting using IFRS for the first time. Design/methodology/approach This paper uses hand-collected information from SEC comment letters to analyze IFRS topics and documents the ultimate resolution of each SEC comment (no change to filing, current change to filing or prospective change to future filing). The authors use descriptive statistical analyses, as well as a logistic regression model involving the resolution of each SEC comment, to examine the SEC’s influence on the interpretation of IFRS. Findings The study finds both higher comment totals, and higher numbers of required filing modifications, for those IFRS pronouncements which were identified as needing improvement during the 2006-2008 convergence efforts by the International Accounting Standards Board (IASB) and the US Financial Accounting Standards Board (FASB). Additionally, the study documents a decreasing likelihood of a filing modification when US generally accepted accounting principles (US GAAP) guidance is referenced in comment letter correspondence involving IFRS topics. Originality/value The study extends the IFRS literature and the SEC comment letter literature by focusing on the resolution of comments directed at IFRS disclosures, as well as exploring the factors which influence whether a comment ultimately requires a filing modification.

ANALISIS PENERAPAN PSAK 50 DAN PSAK 55 ATAS CADANGAN KERUGIAN PENURUNAN NILAI

GOING CONCERN : JURNAL RISET AKUNTANSI ◽

10.32400/gc.9.1.25224.2014 ◽

2014 ◽

Vol 8 (3) ◽

Author(s):

Yusni Husain ◽

Jullie J. Sondakh ◽

Heince Wokas

Keyword(s):

Financial Reporting ◽

Accounting Standards ◽

Financial Statements ◽

Financial Accounting ◽

Financial Assets ◽

Financial Instruments ◽

Ias 39

The application of the new accounting standards that are influential in the banking convergence with International Financial Reporting Standards and International Accounting Standards discussed in (IAS) 39 on recognition and measurement of financial instruments. Financial Accounting Standards Board issued Statement of Financial Accounting Standards (SFAS) 50 and 55 of the Presentation, Recognition and Measurement of Financial Instruments will be effective on January 1, 2012. Allowance for Impairment (Impairment Loss) is derived from the value of the amount to be recorded at recoverable value of the asset. This research was conducted at PT. Bank Mandiri Unit 1 Datulolong Lasut Manado (Persero) Tbk . The purpose of this study was to determine the extent of the application of SFAS 50 and SFAS 55 to the recognition, measurement and presentation of the allowance for impairment losses PT. Bank Mandiri Unit 1 Datulolong Lasut Manado (Persero) Tbk. The results suggest the application of SFAS 50 and SFAS 55 top Allowance for Impairment Losses by PT Bank Mandiri Tbk. compliance with applicable standards.The process of recognition of Allowance for Impairment Losses at amortized value using the effective interest rate. Measuring the level of collective impairment for financial assets is calculated based on the loss historical collectively. Presentation of receivables in the financial statements is the value after deducting the allowance for impairment losses.