Convergence in accounting standards: Insights from academicians and practitioners

Document Type

Article

Publication Date

6-1-2010

Abstract

The efficiency and competitiveness of global capital markets depends on the ability of financial statement preparers to communicate effectively with investors through financial reports. Despite the global movement to adopt IFRS, US adoption of IFRS is still uncertain. To assess potential for convergence, this study compares perspectives of academicians and practitioners regarding convergence to a set of global accounting standards. The majority of respondents believe that effective convergence to a set of globally accepted accounting standards would be beneficial to preparers, users, auditors, analysts, and standard setters. Convergence in accounting standards can require extensive and possibly costly changes to the standard-setting infrastructure and enforcement process in the US and other countries, and will also require proper training for management, auditors, and investors. © 2010 Elsevier Ltd. All rights reserved.

Publication Title

Advances in Accounting

First Page Number

142

Last Page Number

154

DOI

10.1016/j.adiac.2010.01.001

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