Internationalization Of Accounting Standards

The Financial Accounting Standards Board (FASB) is committed to contributing to improving international standards. The demand for international standards is coming from participants in the global financial network. While it may be impossible to achieve universally accepted international standards in the foreseeable future, there are several possible ways of dealing with noncomparable standards: 1. National securities regulators could accept financial statements prepared in accordance with a foreign registrant's domestic generally accepted accounting principles (GAAP). 2. Foreign registrants could be required to conform to domestic GAAP either directly or by reconciliation. 3. A separate body of international standards that link national standards could be developed. 4. National securities regulators could require all firms under their jurisdiction to reconcile to International Accounting Standards Committee standards. The first step would be to strive for agreement on some basic concepts, starting with the objective of financial statements