Posted on 03/16/2009 9:56:28 AM PDT by TigerLikesRooster
Accounting: a Narrative Art?
If U.S. GAAP becomes principles-based, financial executives would do well to become students of Mother Goose.
David M. Katz - CFO.com | US
March 13, 2009
The move to a principles-based accounting system is likely to demand that corporate finance executives be good yarn-spinners, speakers at the annual CFO Rising conference said.
A system less like the rules-based U.S. generally accepted accounting principles (GAAP) and more like the judgment-focused international financial reporting standards (IFRS) would draw more heavily on the narrative skills of finance executives, according to David Sherman, a professor of accounting at Northeastern University. A good story, elaborated from solid principles, would be hard for an independent auditor to challenge under such a system, he suggested.
(Excerpt) Read more at cfo.com ...
Ping!
“Narrative Skills”? Is that the same as “BS”?
Why, yes ... yes it is!
From the article:
“To be sure, rapid adoption of IFRS in the United States would mean hefty revenues for audit firms like Grant Thornton.”
Follow the money. OpenSecrets.org lists ‘Grant Thornton LLP’ as one of the top contributors to Barney Frank in the 2008 election cycle, and Ralph Nader in the 2000 election cycle.
Just more political corruption from Zero’s peeps.
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