Assignment: Financial Statements
1. Based on Chapter 2 explain: "Further Look at Financial Statements"
2. In your own opinion, how are financial statements useful to managers and employees?
3. How are financial statements useful to investors and creditors?
4. Explain.by providing, support an opinion and explain why.
5. Based on Chapter 2 Explain what a transaction is?
6. After identifying a transaction, what are the first three steps in the accounting process, and can you provide an example of how these steps would be completed (this will help with this week's exercise)?
Write a 700- to 1,050-word summary of your team's discussion regarding IFRS versus GAAP. The summary should be structured in a subject-by-subject format.
Include an introduction and a conclusion. Your discussion should include the answers to the following:
• IFRS 2-1: In what ways does the format of a statement of financial or position under IFRS often differ from a balance sheet presented under GAAP?
• IFRS 2-2: Do the IFRS and GAAP conceptual frameworks differ in terms of the objective of financial reporting? Explain.
• IFRS 2-3: What terms commonly used under IFRS are synonymous with common stock and balance sheet?
• IFRS 3-1: Describe some of the issues the SEC must consider in deciding whether the United States should adopt IFRS.
• IFRS 4-1: Compare and contrast the rules regarding revenue recognition under IFRS versus GAAP.
• IFRS 4-2: Under IFRS, do the definitions of revenues and expenses include gains and losses? Explain.
• IFRS 7-1: Some people argue that the internal control requirements of the Sarbanes-Oxley Act (SOX) of 2002 put U.S. companies at a competitive disadvantage to companies outside the United States. Discuss the competitive implications (both pros and cons) of SOX.
Format your paper consistent with APA guidelines.