AC 300 Unit 2 Assignment AC 300 Unit 2 Assignment | Page 2

the type of information it considered important. In addition, if an
investor wants additional information, the investor could contact the
company and pay to receive the additional information desired.
Instructions
Comment on the appropriateness of this viewpoint.
IFRS1-5 The following comments were made at an Annual Conference
of the Financial Executives Institute (FEI).
There is an irreversible movement towards the harmonization of
financial reporting throughout the world. The international capital
markets require an end to:
The confusion caused by international companies announcing different
results depending on the set of accounting standards applied.
Companies in some countries obtaining unfair commercial advantages
from the use of particular national accounting standards.
The complications in negotiating commercial arrangements for
international joint ventures caused by different accounting
requirements.
The inefficiency of international companies having to understand and
use a myriad of different accounting standards depending on the
countries in which they operate and the countries in which they raise
capital and debt. Executive talent is wasted on keeping up to date with
numerous sets of accounting standards and the never-ending changes
to them.