国际会计讨论题及答案 共26页

1、” and explain its content. 1. Define the “ International Accounting (1) Definition of International Accounting ： Accounting is a branch of applied economics that provides information about business and financial transactions. International accounting is distinct because the information concerns a mu

2、ltinational enterprise(MNE) with foreign operations and transactions, or the users of the information are in a different domicile than the reporting entity. (2) Content of international accounting: Comparison of accounting standards Accounting harmonization or convergence International financial acc

3、ounting International managerial accounting International auditing 2. Explain the effect factors of accounting development. Which factors are the most important for Chinese accounting development? Which factors are the least important for Chinese accounting development? Effect factors: (1) Source of

4、 finance: In countries where bank dominates source of finance, accounting focuses on creditor protection through conservative accounting measurements. (2) Legal system: The legal system determines how individuals and institutions interact. (3) Taxation: In many countries, tax legislation effectively

5、 determines accounting standards (4) Political and economic ties: Accounting ideas and technologies are transferred through conquest, commerce, and similar forces. (5) Inflation: Inflation distorts historical cost accounting and affects the tendency of a country to incorporate price changes into the

6、 accounts. (6) Level of economic development: The factor affects the types of business transactions conducted in an economy. (7) Education level: In countries with developed education, concerns for accounting information is high. (8) Culture: Culture means the values and attitudes shared by a societ

7、y. Most and least important: (1) China is trying to develop accounting standards that are understandable to the outside world. The model is International Financial Reporting Standards in order to attract outside investors that are vital to themakeover of China s economy. (2) Thus the anticipatory ef

8、fect of sources of finance is probably the most significant factor influencing the development of accounting today. (3) P olitical and econo mic ties are p robably the least imp orta nt factor in the case of China. China s economy has been insular until recently. Even now, imports and exp orts as a

9、p erce ntage of gross domestic p roduct are low (see Table 4.1). Thus, there is no sig ni fica nt in flue nee from one p articular trad ing partner, nor is there any coloni al legacy. 3. Disti nguish fair p rese ntati on and comp lia nee acco un ti ng. (1) Fair p rese ntati on: It emp hasizes substa

10、 nee over form and is orie nted toward the decisi on n eeds of exter nal inv estors. It is cap ital markets orie nted. It is associated with com mon law coun tries (2)Legal comp lia nee acco unting: It is desig ned to satisfy gover nmen t-i mp osed requireme nts such as calculati ng s macroec ono mi

11、c plan. taxable in come or complying with the n ati onal gover nment legal comp lia nee acco unting is associated with code law coun tries. (3) A third model is the in flati on-adjusted model. It is esse ntially an add-on to one of the other two models in some coun tries with high in flati on. 4. Th

12、e U.K and the U.S have a com mon acco un ti ng heritage and are lin ked by history and Ian guage. An glo-America n acco un ti ng is a term sometimes used to denote their acco un ti ng styles, which are similar in orie ntati on, purpo se, and app roach. Yet acco un ti ng differe nces still exist betw

13、ee n these two coun tries. Required: Ide ntify the major differe nces betwee n U.K and U.S acco un ti ng. The U.K The U.S Goodwill Cap italize Greater interest in the company by financial analysts and investors; Increased share liquidity; Lower cost of capital. Delay the disclosure of adverse news,“

14、manage”l rtehpeoirrftisntaoncioanvey a more positive image of the firm, and overstate their firms financial performanc and prospects. (2)Solution: regulati on such as acco unting and disclosure regulati on third-p arty certificate such as audit ing. 10. What evidence is there that International Acco

15、unting Standard are becoming widely accepted around the world? Growi ng nu mbers of companies are ado pting IFRS volun tarily and refer to their use of IFRS in their annual reports. Doze ns of coun tries base their n ati onal acco un ti ng sta ndards on IFRS. Many intern ati onal orga ni zati ons, s

16、uch as IOSCO, en dorse the use of IFRS. IFRS are used as an intern atio nal ben chmark in many major in dustrialized countries. IFRS are acce pted by many stock excha nges and securities regulators. IFRS are recog ni zed by the Euro pean Commissio n (EC) and other supranational bodies. Norwalk Agree

17、me nt committed FASB and IASB to conv erge nee. 11. Discuss the special features for accounting standards setting, regulation and enforcement, financial reporting, and measurement in China. Acco un ti ng sta ndard sett ing is a gover nment activity in China. The purp ose of accounting was to serve t

18、he needs of the state for economic planning and control. A uniform set of standardized accounts was developed. The recent economic reforms enable accounting standards to reflect this new reality. The Chi na Acco unting Stan dards Committee is the authoritative body within the Ministry of Finance res

19、ponsible for developing accounting standards. The China Securities Regulatory Committee is the government agency that regulates China stock exchanges. The CSRC is also responsible for enforcing financial reporting for listed companies. Financial reporting is frequent and detailed. The main feature i

20、s a fundmanagement orientation where funds meant the property, goods, and materials used in the production process. Financial reporting emphasize the balance sheet. China is likely moving toward fair presentation oriented accounting by adopting IFRS as Chinese GAAP. Despite adopting fair presentatio

21、n principles, one can question whether the Chinese achieve it in application. There is an acute shortage of trained accountants in China and the profession remains undeveloped. 12. Compare and contrast features of the major foreign currency translation methods which are current exchange rate method,

22、 and temporal method. Which method do you think is best? Why ? Current Rate Method (1)Advantages: Retains the initial relationships in the foreign currency statements. Simple to apply. (2)Limitations: Violates the basic purpose of consolidation, which is to present the results of a parent and its su

23、bsidiaries as if they were a single entity. Inconsistent with historical cost. Presumes that all local assets and liabilities are subject to exchange risk. While stockholders equity adjustments shield an MNE s bottom line from translation gains and losses, such adjustments could distort certain fina

24、ncial ratios and be confusing. Temporal Method (1)Advantages: Theoretically valid: compatible with any accounting measurement method. Has the effect of translating foreign subsidiaries operations as if they were originally transacted in the home currency, which is desirable for foreign operations th

25、at are extensions of the parent s activities. (2)Limitation: A company increases its earnings volatility by recognizing translation gains and losses currently. Which is best: There is probably no one translation method that is appropriate for all circumstances in which translations occur and for all

26、 purposes that translation serves. It is probably more fruitful to identify circumstances in which they think one translation method is more appropriate than another. 13. What are features of FASB 52? (1) FASB 52 introduces a concept of functional currency. (2) Translation when the parent currency i

27、s functional. Foreign currency financial statements remeasured to reporting currency using the temporal method. Translation gains and losses resulting from the translation process are included in current income. (3) Translation when the local currency is functional. Foreign currency financial statem

28、ents translated to reporting currency using the current rate method. Translation gains and losses disclosed as a separate component of consolidated equity. 14. For three approaches that are international accounting standard, mutual recognition, and reconciliation, what do you expect is the preferred

29、 approach from the perspective of investors, company management, and regulatory authorities? (1)One of the main problems with mutual recognition: To make financial statements within the home market non-comparable (2)Reconciliation: The United States SEC considers reconciliation to be a cost-effectiv

30、e means significant differences between domestic and foreign accounting principles can increase the burdens reconciliations do not provide a full picture of the enterprise (3) The use of International Financial Reporting Standards would provide many benefits for cross-border listings. Investors migh

31、t prefer international standards. Company management might prefer mutual recognition. Regulatory authorities might prefer reconciliation. 15. From a user s perspective, what is the inherent problem in attempting to analyze historical cost-based financial statements of a company domiciled in an infla

32、tionary, devaluation-prone country?(不考) Historical-based financial statements may be misleading during periods of significant inflation. Many resources may have been acquired in periods when the purchasing power of the monetary unit was much higher. These expenses then typically are deducted from revenues that reflect current purchasing power. The resulting income number is unintelligible. Another problem for statement readers is that the value of a