When it comes to Walmart potentially switching over from GAAP to IFRS, there are both advantages as well as challenges. IFRS is currently used by many countries globally, which may make it easier for Walmart to compare its financial statements with its international competitors. More than 144 countries around the world have adopted IFRS to make accounting more consistent worldwide (Ross, 2022). By adopting IFRS, Walmart can have transparency to be in better communication with their financial information to a global audience. Another difference is the method IFRS and GAAP use to value their inventory. GAAP rules allow for LIFO as well as FIFO. On the other hand, IFRS rules ban the use of LIFO inventory accounting methods. Even though there are benefits for Walmart to update their accounting and use the IFRS accounting principle instead of GAAP, this would be costly for them. It is important for Walmart to carefully evaluate the benefits and costs of the transition before acting on it