Create a 10 page essay paper that discusses Can be compared financial performances in different accounting standards (Thai GAAP, UK GAAP, IFRS).
technology, the world today can be said to become a global village, where people around the world have become connected and integrated by the click of the computer. Besides, the number of multinational companies, foreign investors and finances from abroad invested in different countries has increased significantly.
As a result of these, they face problems arising from different accounting standards. It should have been a good thing if financial performance of companies from different countries could be compared even if accounting information was presented using different accounting standards. In this way, financial information can be said to have met one of the key qualities, or characteristics, which is “Comparability”.
It should be noted here that, the objective of financial statements can be said to be “to provide information about the financial position, performance and changes in financial position of an enterprise that is useful to a wide range of users in making economic decisions” (paragraph 12).1
To be able to meet the said objectives, this research will use financial statement of three different companies involved in same line of business, but operating in three different countries to establish the financial performance of the three companies financial statements prepared under UK accounting standard (UK Generally Accepted Accounting Principles, UK GAAP), Thai accounting standard (Thai Generally Accepted Accounting Principles, Thai GAAP), and USA GAAP and make a comparison with the requirements of the International Financial Reporting standard (IFRS), which are accepted worldwide. The result of using different accounting standards may have an adverse effect on a company’ performance on the international scene in as much as investors are concerned. Some may still be in favour of a unique International accounting standard. Particular country accounting standards are still necessary because of.
Shifting the accounting practice, will be consumed