Compare and contrast the differences in the Walmart financial statements if the company were to use...

Question

Compare and contrast the differences in the Walmart financial statements if the company were to use International Financial Reporting Standards (IFRS) rather than Generally Accepted Accounting Principles (GAAP). Be sure to discuss specific accounting differences between the two.Debate the pros and cons this would create for Walmart. Be sure to be specific and support any opinions.Describe any legal or ethical challenges this convergence may create for Peru.

Nitish Lath · Accepted Answer

Difference in IFRS and US GAAP Walmart Inc.:
With reference to Walmart Inc. there is difference in inventory recording and valuation method as per IFRS and GAAP. Walmart Inc. is a US based entity which is into retail or grocery segment and has adopted US GAAP for financial reporting whereas Tesco based at UK is a comparable company which is following IFRS. Walmart Inc. is using LIFO method for inventory valuation whereas IFRS recommend to use FIFO method for inventory valuation. Due to LIFO method adopted by Walmart Inc.

Compare and contrast the differences in the Walmart financial statements if the company were to use International Financial Reporting Standards (IFRS) rather than Generally Accepted Accounting...

Solution

Answer To This Question Is Available To Download

Related Questions & Answers

Submit New Assignment