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Do you think U.S. companies will embrace IFRS for financial reporting purposes? Why or Why not?...

Do you think U.S. companies will embrace IFRS for financial reporting purposes?

Why or Why not? Present original arguments (supported by authoritative reference sources) in support of your position. Include in your response, a list of 2-3 U.S. MNCs who are already using IFRS for financial reporting purposes.

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Expert Solution

U.S. companies, especially those with global operations, shall comply with IFRS ( International Financial Reporting Standards ) to compete in Global Work Enironment & maintain Standardise Format of Accounting Globally. Many other countries in world like India are also moving towards following converged IFRS.

U.S. companies looking abroad for potential targets and investees that use IFRS. U.S. multinational companies with foreign subsidiaries may be permitted or required by other countries to apply IFRS for statutory financial reporting requirements for their non-U.S. subsidiaries.

U.S. companies also do business with non-U.S. companies and other stakeholders who are required to use IFRS financial statements.U.S. GAAP and IFRS, are highly relevant to stakeholders evaluating transactions and related financial reporting obligations.

List of Companies following IFRS :- Walamart, Apple Inc., Exxon Mobil etc.

ekkarill92 answered 8 months ago
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