Acc 610 milestone two 4 has aided investors to better

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ACC 610 MILESTONE TWO 4 has aided investors to better identify where their investments should be placed” [Con181]. II. It can also be beneficial to new and small investors. Under the IFRS, reporting standards will be a better quality and simpler to understand. It also reduces the risk for investors when they trade, “as the professionals will not be able to take advantage because the nature of financial statements will just be simple to be understood by everyone” [Con181]. III. IFRS creates more flexibility. By using a philosophy based on principles vs. rules, the standards will have the goal of arriving at a reasonable valuation with various ways to accomplish tasks” [Con181]. IFRS can be adapted to meet the specific needs of our organization. And, as mentioned earlier, the financial statements would be easier to read, in addition to being more useful. Disadvantages IV. An IFRS transition would be a costly venture, at least in the beginning. Staff and accountants would need to be trained, would be included in the initial cost. V. IFRS is prone to manipulation. Because businesses are able to use the methods they wish, it could lead to the financial statements only showing the desired results. “While the new set of standards requires changes to how the rules should be applied to be justifiable, it is often possible for businesses to come up with reasons for making such changes” [Con181]. “This means that stricter rules should be implemented to ensure all companies will value their statements in a similar fashion” [Con181]. VI. It is not globally accepted. At this point, the US has not yet adopted the IFRS, there are other companies that have yet to adopt because of this. The dilemma with this, “foreign companies that operate in countries that have not adopted the
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