Introduction
The United States of America has a huge influence on the accounting
standards in use around the world. The USA follows the Financial
Accounting Standards Board (FASB), which has many standards that are
disseminated by the international accounting standards committees. The
rest of the world follows the International Accounting Standards Board
(IASB). The IASB is head-quartered in London, England and is an
independent and privately-funded accounting standard-setter
(International accounting standards, 2010). The board consists of
representatives from nine different countries and is designed to achieve
convergence in accounting standards around the world (IASB
international, 2010).