The gob are different from the gaap whereas us gaap

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Unformatted text preview: l dominated by a legalistic approach. The accounting system is part of the legal framework (third book of the Handelsgesetzbuch – HGB – German Commercial Code), and the process of accounting regulation is the duty of government and parliament. There is no private standard-setting body in Germany such as those in the US or UK. Furthermore, there is no consultative body (comparable, for example, to the French Conseil National de la Comptabilité). All the principles and rules of accounting which are not included in codified law form the system of “Grundsätze ordungsmäbiger buchführungI” (GoB – principles of proper accounting). The Gob are different from the GAAP. Whereas US GAAP comprises all rules and principles of accounting (promulgated or not), German GoB embrace generally only noncodified rules and principles which have been developed in accounting practice. Italy Italian accounting is frequently regarded as law-based, tax-driven, and primarily oriented towards creditor protect...
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This note was uploaded on 05/02/2013 for the course ECONOMIC economics taught by Professor Economics during the Fall '13 term at Elmont Memorial High School.

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