Does the way in which accounting represents the world facilitate the control of organizations? - Essay Example

Only on StudentShare

Extract of sample
Does the way in which accounting represents the world facilitate the control of organizations?

They way in which accounting represents the world does not always facilitate the control of organizations. Representation versus control Not every nation has adopted the International Financial Reporting Standards (IFRS) delivered in 2001 by the IASB. Because of this, there are independent and corporate investors that have identified opportunistic tax havens across the world. The ability to utilize foreign business accounting practices as a means to shelter resources continues to cause problems with how other businesses internationally perform their strategic management functions. For instance, Singapore has amended its tax laws as it had not, until 2009, adopted global accounting standards (google.com, 2009). Previously, businesses operating in Singapore maintained the ability to act as corporate and private investor tax havens as financial reporting from businesses in this country were able to manipulate data in a methodology that would be considered illegal in countries using the IFRS. ...
Download paper

Summary

The development of international accounting standards streamlines the accounting function, such as those standards implemented by the International Accounting Standards Board (IASB), the development of internal business controls are often not linked specifically with accounting principles and activities…
Author : fhaag

Related Essays

Finance and Accounts. Accounting Principles.
These situations should at least be reduced if they cannot be reduced as a whole. The process of loss reduction involves a complex understanding about the following terminologies:
...
22 pages (5522 words) Essay
Assigment for Strategic management accounting
The business functions within Pear Ltd’s value chain encompass aspects such as research and development, design of products, services, and processes, production, marketing, distribution, and customer service. As such, cost management is critical component to the company’s operation in integrating and coordinating activities in all spheres of business function. Alternative Methods of Budgeting The traditional budgeting employs the incremental approach whereby the previous year’s budget is used a basis, subsequent to adjustments up and down, from that budget to mirror the changing...
12 pages (3012 words) Essay
Modern Organizations and Accounting System
It is vital because it systematizes the whole process. Without having proper accounting system, it is impossible to run business either small or big. Every type of organization needs to have check and balance on their financial statements (Eisen, 2000). One thing that should be clearly mentioned here is that the modernized accounting system has not changed the business purpose and principles but it has only changed the mechanism. In other words, it could be said that the method of performing accounting functions have become more advantageous. Early accounting reports have shown major errors in...
5 pages (1255 words) Research Paper
Accounting: Internal Cash Control
These modifications in our company’s policy with regard to internal cash control shall help us keep track of our most liquid asset. Firstly, it is recommended that checks should only be signed by the treasurer. Duties should be segregated so that the purchasing agent should only be given the responsibility to approve arrival of goods. Payment and record keeping should be done by the treasurer. Secondly, the company should purchase a new check writer which will enable them to use only prenumbered checks. This will help the company to shift from manual processes to automated processing....
4 pages (1004 words) Essay
Evaluating accounting control systems
The meaning of internal control has changed over the recent years with the development of various internal control models. The COCO model is one of those models. Stone Creek Church in Urbana, Illinois has adopted the COCO framework model for their Internal accounting control system. The Coco model, which builds on COSO (another internal account control model) is the most user-friendly and concrete method. “The COSO framework is the reference model, which is written from the point of view that basically it makes the organizational member of the internal control be thorough who includes the...
4 pages (1004 words) Essay
Managerial Accounting Practise in Saudi Organizations
The State and Extent of Using Modern Management Accounting Techniques In Particular in Making the Right Decisions Decision making is considered to be an all inclusive and widespread process that consists of various activities such as identification of the problem or the concerns, allocation of certain weights or ranks to the identified problem, evaluation and implementation of the alternative plans. Management accounting on the other hand is related to the appropriate use of relevant information in order to facilitate and direct managers to undertake informed business decisions effectively and...
9 pages (2259 words) Essay
Management accounting and control
This approach was developed by Kaplan and Norton through the development of a set of measures otherwise called by them as “a balance scorecard.” The approach has the ability of giving the managers of organization a fast and quick view of the organization in terms of measures and management of performance information which includes both process and results measures (Swain, Krumwiede and Eaton 1999). The balanced scorecard is compared to the dials and the indicators in an airplane cockpit due to its ability to give comprehensive information simultaneously about the current and the predicted...
15 pages (3765 words) Coursework
Got a tricky question? Receive an answer from students like you! Try us!