In the article the writer is discussing the convergence and divergence of two standard setting bodies with reference to fair value accounting. He is mainly criticizing that FASB and IASB cannot go on together at the international level with current process of defining standards and accountants must act progressively to resolve this issue (Cohn 2009).
The article focuses on the convergence of IASB and FASB with reference to fair value accounting and presents the views of the two standard setting bodies concerning standards of fair value accounting. It is outlined in the article that though standards for fair value accounting are same but the sections of the standards are quite different which could result in divergence rather than convergence of the two standards. In the world of business accounting information is essential for various managers to make business decisions and since we have two different set of standards that are being followed in the United States and rest of the world it creates problems for managers in international business market to make business decisions. There are certain accounting rules and information that are used in one set of standards and not in the other. Efforts are being made for convergence as outlined in the article but the two boards should consider specific details to eliminate any potential threats of divergence due to these differences in specific sections of standards promulgated for accountants and general public.
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