22777 International Accounting

Faculty of Business: Accounting
Credit points: 6 cp

Subject level: Postgraduate

Result Type: Grade and marks

Requisite(s): 22747 Accounting for Managerial Decisions OR 22784 Accounting: Concepts and Applications
These requisites may not apply to students in certain courses.
There are also course requisites for this subject. See access conditions.

Handbook description

In the context of many corporations experiencing a strongly developing global business environment, this subject explores the causes and effects of diversity in corporate financial accounting and evaluates the efforts undertaken to harmonise accounting standards and practice internationally. It considers the identities and interests of stakeholders in this process and equips students with the knowledge and skills to appreciate the characteristics and limitations in the interpretation of accounting reports originating from various countries and that arise from cultural and other factors impacting on each country's national accounting profession.

Subject objectives/outcomes

On successful completion of this subject, students should be able to:

Demonstrate an understanding of the complex causes of diversity in accounting practice and reporting internationally
Recognise and describe the effects of the differences in national accounting practices and accounting reports
Identify and explain the limitations that apply when analysing financial statements from international corporations in foreign jurisdictions
Discuss the issues involved in, and evaluate the success of, international harmonisation projects for accounting practice and reporting standards.

Contribution to graduate profile

This subject is intended to provide students with an understanding of the national, cultural and legal diversity around the world that impacts on the presentation of financial accounting information to users. The study of this diversity empowers students to interpret accounting reports with greater precision and caution.

Teaching and learning strategies

International Accounting is particularly suitable as a vehicle for students to use the Internet for learning and skill acquisition. The range of activities include not only communicating among participants but obtaining current information from reliable sources on international associations and organisations, and especially contemporary materials on accounting practices and financial reports from foreign sites for critical analyses and discussion. Students will also be heavily involved in team seminar presentations on relevant and substantial national studies of accounting practices around the world.

Content

Financial reporting in a global context
International classification of accounting systems
Examination of the function and strengths of employing classification systems. Application of a classification system to accounting practices worldwide. The value and usefulness of knowing a practical classification of accounting practices globally
The nature and factors that give rise to and impact exchange rates. The international accounting standard on foreign currency translation. Accounting issues related to financial reporting and disclosure. The difficulties posed for international companies by constantly changing rates. The purpose, advantages and practice of providing consolidated financial statements
Issues in financial accounting reporting and disclosure in a global context
Across border aspects of financial accounting reporting internationally
Managerial issues in international accounting.

Assessment

Workshop Presentation: Country Study (Group)	30%
The study to consist of a verbal presentation in group seminar format. Evaluation will be in terms of a student meeting objectives 1-4.
Mid-semester Examination (Individual)	35%
This will evaluate a students' understanding of issues presented in the first half of the semester and will be in terms of a student meeting objectives 1-4.
Final Examination (Individual)	35%
This will evaluate a students' understand of the issues raised in the study of this subject. Evaluation will be in terms of a student meeting objectives 1-4.

Recommended text(s)

Saudagaran, S. 2004 International Accounting: A User Perspective, 2nd Ed, Thomson Learning, Cincinnati.

Indicative references

Choi, F., & Meek, K. 2005, International Accounting, 5th ed, Pearson Education, Upper Saddle River.

Daniels, J., Radebaugh, L. & Sullivan, D. 2007, International Business: Environments and Operations, 11th ed, Prentice Hall, London

Doupnik, T. & Perera, H. 2007, International Accounting, McGraw-Hill, New York.

Nobes, C. & Parker, R. 2006, Comparative International Accounting, 9Th ed, Prentice Hall, London.

Radebaugh, L,. Gray, S. & Black L. 2006, International Accounting and Multinational Enterprises, 6th ed, John Wiley, New York.

Roberts, C., Weetman, P. & Gordon, P. 2005, International Financial Accounting: A Comparative Approach, 3rd ed, Prentice Hall, London.

Stangor, C. 2007, Research Methods for the Behavioral Sciences, Houghton Mifflin, Boston