1 3101AFE Accounting Theory and Practice WORKSHOP 5 Deegan Topic 4: International accounting QUESTION 1: Does the adoption of IFRS by different countries necessarily mean that the accounting...

its weekly homework questions for the accounting theory and practices please read the marking criteria carefully as she is very fussy about the gyuidelines


1 3101AFE Accounting Theory and Practice WORKSHOP 5 Deegan Topic 4: International accounting QUESTION 1: Does the adoption of IFRS by different countries necessarily mean that the accounting procedures and practices they adopt will be consistent and comparable internationally? QUESTION 2: After considering the Hofstede-Gray model, briefly explain the hypothesised link between society values, accounting values and accounting practice. QUESTION 3: It is often argued that the accounting standards of the FASB are rule-based, whereas the accounting standards issued by the IASB are principles-based. Rules-based standards by their nature can be quite complex, particularly if they seek to cover as many situations as possible. Do you think it would be easier to circumvent the requirements of rules-based or principles-based accounting standards? QUESTION 4: Ball (2006, p.22) provides the following statement: In the presence of local political and economic factors that exert substantial influence on local financial reporting practice, and in the absence of an effective worldwide enforcement mechanism, the very meaning of IFRS adoption and the implications of adoption are far from clear. In the enthusiasm of the current moment, the IFRS ‘brand name’ currently is riding high and IFRS adoption is being perceived as a signal of quality. I am not sure how long that perception will last. Provide an argument as to whether you are inclined to agree or disagree with Ball’s scepticism about the future of ‘value’ associated with embracing IFRS.