Acc 501 Mod 1

This essay will restrict the five following gong: generally certain sum uping principles, international fiscal account standards, Norwalk Agreement, generally accepted auditing standards, and international auditing and assurance standards. on with these terms, I will attempt to compargon the financial statements of three considerably known companies: Apple, Swatch Group and Nikon. Lets first bound the most common term, the generally accepted accounting principles (generally accepted accounting principles). GAAP is employ by U.S. companies and consists of many divergent widely accepted rules as to what is the correct method of presenting financial data to the world. This allows for around appearance of a standard for companies to enter others what they made or lost for a given condemnation period. GAAP is for revenues, liabilities and bottom-line profit. Along with the GAAP, there is the International Financial describe Standards (IFRS). According to th e IFRS website, although equal to each other there are still earthshaking differences between GAAP and IFRS: IFRS does non lease Last In First Out (LIFO) as an gillyflower costing method. IFRS uses a single-step method for impairment write-downs rather than the trip the light fantastic method used in U.S. GAAP, making write-downs more likely.

IFRS has a different hazard threshold and measurement objective for contingencies. IFRS does not permit circle debt covenant violations after year-end. IFRS guidance regarding revenue recognition is pocket-size extensive than GAAP and contains relatively little industry-specific instruction. To achieve compatibility between GAAP and IFR S, the Financial explanation Standards bat! ting coordinate (FASB) and the International Accounting Standards Board (IASB) converged in 2002 to put in concert a entry of understanding which was known as the Norwalk Agreement. At that meeting, both the FASB and IASB pledge to use their best efforts to (a) make their actual financial inform standards fully compatible as soon as is practicable...If you pauperism to get a full essay, order it on our website: OrderEssay.net

If you want to get a full information about our service, visit our page: write my essay