Principles versus Rules and Revenue Recognition Differences Exacerbating U.S. GAAP and IFRS Convergence

This paper discusses some of the underlying reasons why the United States has not converged with the International Financial Reporting Standards which are used by over 120 countries world-wide. The focus is primarily on the... [ view full abstract ]

This paper discusses some of the underlying reasons why the United States has not converged with the International Financial Reporting Standards which are used by over 120 countries world-wide. The focus is primarily on the debate over principles vs. rules in accounting and the conservative or aggressive approach to revenue recognition.