logo image

Financial statements

The is however possibility of deferring costs still under IFRS. However, there appears to be more difficulty of capitalizing under IFRS because of the additional requirements that must complied. Hence, this means that capitalization has better chance of being done under the US GAAP if the SOP requirement is complied with. As a rule better profitability at the earlier part will result from easier chance of capitalizing costs and investors would more likely also be affected because they normally give more value to more profitable companies as shown in their financial statements.

The possible problem that stockholders after the s...

Need essay sample on "Financial statements"? We will write a custom essay sample specifically for you for only $13.90/page

...hift to IFRS would be a lesser chance of getting a more profitable result based on financial statements as what had been experienced under the US GAAP. This would however make way for more objective presentation of financial statements and stocks would have a better chance of not being overvalued because of the difficulty of capitalizing such development costs.

Works Cited

Ernst and Young, U. S. GAAP vs. IFRS: The Basics, n. d. {www document} URL, http://www2. eycom. ch/publications/items/2007_ey_us_gaap_v_ifrs_basics/2007_ey_us_gaap_v_ifrs_basics. pdf, Accessed November 13, 2008 MSN Company Report – Company Background, 2008 {www document} URL, http://moneycentral. msn. com/companyreport? Symbol=PG, Accessed November 13, 2008 Proctor and Gamble , 2008 Annual Report, 2008{www document} URL , http://www. pg. com/content/pdf/home/PG_2008_AnnualReport. pdf, Accessed November 13,2008

Read full document

Can’t wait to take that assignment burden offyour shoulders?

Let us know what it is and we will show you how it can be done!
×
Sorry, but copying text is forbidden on this website. If you need this or any other sample, please register
Signup & Access Essays

Already on Businessays? Login here

No, thanks. I prefer suffering on my own
Sorry, but copying text is forbidden on this website. If you need this or any other sample register now and get a free access to all papers, carefully proofread and edited by our experts.
Sign in / Sign up
No, thanks. I prefer suffering on my own
Not quite the topic you need?
We would be happy to write it
Join and witness the magic
Service Open At All Times
|
Complete Buyer Protection
|
Plagiarism-Free Writing

Emily from Businessays

Hi there, would you like to get such a paper? How about receiving a customized one? Check it out https://goo.gl/chNgQy