Impact of different accounting treatments on the performances of three companies in Singapore, United states and Japan.
Annual reports are an important source of information to investors in their decision-making. process. These reports are prepared in accordance with their respective countries' accounting standards. However, different countries adopt different accounting standards. This has significant impl...
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| Format: | Final Year Project |
| Language: | English |
| Published: |
2015
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| Subjects: | |
| Online Access: | http://hdl.handle.net/10356/64049 |
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| Institution: | Nanyang Technological University |
| Language: | English |
| Summary: | Annual reports are an important source of information to
investors in their decision-making. process. These reports
are prepared in accordance with their respective
countries' accounting standards. However, different
countries adopt different accounting standards. This has
significant implications. This report aims to identify
the possible implications.
The report looks into the differences of accounting
standards of Singapore, USA and Japan, and its possible
effects. A case study of three companies in the three
countries has been done to illustrate the effects.
The case study indicates that different accounting
treatments affect the earnings reported and the
computation of financial ratios. Generally, these are the
basic elements investors relied upon in their decision to
invest in a company. Thus, investors may be misled
because higher reported earnings and favorable ratios of
a company may not be entirely due to its superior
operating results. They may be partially due to the
favorable accounting standards of a company. |
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