Consider this scenario: you have worked very hard and have just earned a promotion at Quality CPA firm. As part of your new responsibilities, you will be advising an influential client on their international aspirations. Their business has been booming and they are seriously considering expanding their operation overseas. They are concerned about the political and financial risks of such an undertaking.
Build a PowerPoint presentation, with speaker notes to elaborate, that addresses the upper management of this company. Canada is the potential destination for the company, although other countries can be included, as the global market is the focus. The presentation must explore the company's potential expansion into the chosen country, the global market in general, and how the expansion will impact their operations.
Specifically, the following critical elements must be addressed:
1. Global Business: (10-15 slides) for this part of the assessment, convey to your audience the differences between accounting principles around the world.
A. Explain the influence of environmental issues of diversity on accounting practices.
B. Evaluate the impact of Canada's culture on their financial accounting standards.
1. Use the accounting principle, Hofstede's dimension of culture, to help inform your response.
C. Evaluate the impact of potential issues on business operations that may arise when conducting accounting business in Canada.
II. Accounting Standards: (10-15 slides) for this part, explain to your audience the differences between generally accepted accounting principles (GAAP) and International Financial Reporting Standards (IFRS) and the implications in converging with IFRS.
A. Differentiate between the reporting requirements for GAAP and IFRS.
B. Given these differences, determine which reporting standards would be most appropriate for your company, given their desire to expand globally and why
they would be appropriate.
C. Distinguish the disclosure requirements for GAAP and IFRS.
D. Given these differences, determine which disclosure standard(s) would be most appropriate for your company given their desire to expand globally, and
explain why they would be appropriate.
E. Assess the impact that the convergence of GAAP and IFRS will have on investors of companies in the United States and in the global market.
F. Assess the impact that the convergence of GAAP and IFRS will have on firms similar to your company. In other words, how will its effect on investors and
the global market affect the company?
G. Explain the role of International Accounting Standards Board (IASB) in harmonization . How is the board created? In other words, how does this support