tailieunhanh - The Changing Accounting Environment: International Accounting Standards and US implementation

Carbon offsets are an innovative tool for allowing companies and individuals to reduce greenhouse gas emissions beyond what they can easily achieve on their own. In the past two years, interest in carbon offsets has grown dramatically as companies and concerned consumers have sought ways to help mitigate climate change. However, the global market for voluntary carbon offsets is currently unregulated, which has led to growing concerns about whether buyers are really getting what they are paying for. Various non- government programs and initiatives have sought to address these concerns by establishing standards. So far, none of these initiatives has managed. | Journal of Finance and Accountancy The Changing Accounting Environment International Accounting Standards and US implementation Assma Sawani Westminster College Abstract Accounting provides useful information to decision makers thus as the business environment has changed so have the accounting standards that govern the presentation and disclosure of information. International Accounting Standards are central to this concept. International standards were first developed in the late 1960 s but they have reached their zenith of importance in today s economic and business environment. It is also evident that governments and policymakers recognize this change. This point was made publicly when the European Council of Ministers passed a resolution requiring all EU companies listed on a regulated market to prepare accounts in accordance with International Accounting Standards for accounting periods beginning on or after 1 January 2005. This decisive change was met with great furor in the accounting profession as well as in corporate boardrooms. The International Accounting Standards Board welcomed the resolution pleased that the EU was among the first major nation-states to take the initiative and embrace international accounting standards. The EU recognized the many benefits of requiring the implementation of international accounting and auditing standards. Moreover the Securities Exchange Commission SEC recently voted on a roadmap that requires . public companies to use International Financial Reporting Standards by 2014. In light of the interests and activities of companies and users of financial information becoming global the SEC released a statement declaring its involvement and support to develop a globally accepted high quality financial reporting framework. The benefits of international accounting standards can be financial economic and political. Preliminary evidence suggests that companies lenders and investors would prefer a convergence of domestic .