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3101AFE Accounting Theory And Practice

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Questions:

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?

2. After considering the Hofstede-Gray model, briefly explain the hypothesised link between society values, accounting values and accounting practice.

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?

4. 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

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