Year: 2024
Type: article
Abstract: With the increasing integration of global financial markets, the convergence between the International Financial Reporting Standards (IFRS) and Generally Accepted Accounting Principles (GAAP) has become a key issue. This paper examines the fundamental frameworks of IFRS and GAAP, the driving forces behind their convergence, the challenges they face, the progress made, and future prospects. The paper highlights that, although progress has been made in areas such as revenue recognition and financial instruments, cultural and economic differences, transition costs, and differing stakeholder perspectives remain significant barriers. Looking ahead, gradual convergence, adaptable solutions, and technological innovations are potential pathways for achieving full convergence.
Author: Zhang Hanyi
Institution: City University of Macau
Language: English
Subfield: Accounting
Domain: Social Sciences
Open Access status: hybrid
OpenAlex ID: W4409884185