Chapter 8, Problem 11QS

International accounting and internal controls

C1 P1

Answer each of the following related to international accounting standards.

a. Explain how the purposes and principles of internal controls are different between accounting systems reporting under IFRS versus U.S. GAAP.

b. Cash presents special internal control challenges. How do internal controls for cash differ for accounting systems reporting under IFRS versus U.S.

GAAP? How do the procedures applied differ across those two accounting systems?