Financial reporting rules in many countries outside the U.S. (e.g., the U.K., Australia, New Zealand, and France)
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Financial reporting rules in many countries outside the U.S. (e.g., the U.K., Australia, New Zealand, and France) permit management to revalue fixed assets (and in some cases even intangible assets) which have increased in value. Revaluations are typically based on estimates of realizable value made by management or independent valuers. Do you expect that these accounting standards will make earnings and book values more or less useful to investors? Explain why or why not. How can management make these types of disclosures more credible?
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Business Analysis And Valuation Using Financial Statements Text And Cases
ISBN: 9780324118940
3rd Edition
Authors: Krishna G. Palepu, Paul M. Healy, Victor L Bernard
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