ACNT2337 Lone Star College International Financial Reporting Discussion

The first assignment is a paper on whether the US should adopt IFRS or not. The US had committed to IFRS under the Bush administration. The IFRS and FASB boards were working on on converging the standards.

The financial crisis happened and the Obama administration put the conversion on hold and then decided not to do it. While convergence has had a couple big wins recently in the new Revenue and Lease standards that are pretty much the same, the convergence effort is supposed to stop.

Please discuss whether it makes sense for the US to review its decision. Think about some of the following,

1. Impact on investor being able to see the same accounting being applied for similar companies across the globe.

2. Impact on loss of ability to control the standards (i.e. The SEC stepped in and changed implementation of mark to market in the middle of the financial crisis to not cause more issues than were already happening. FASB alas has alot of power and would have to give up most of that..

3. Use the european model of IFRS. Europe had not implemented all IFRS standards so they have a hybrid of standards

4. Ease on auditors across the globe. when auditing different multinational companies.

Again, there are no right and wrong answers. The paper should be at least 2 pages double spaced.