Introduction
Eight years passed since the International Accounting Standards, currently International
Financial Reporting Standards were adopted and applied in Romania. The globalization of the
national economies and the integration of the financial markets was the strong argument in favor of
IFRS application. Both investors and financial analysts should understand the financial statements
of the foreign companies when they intend to buy shares in those companies. It is equally true that
they are interested to be able to compare the financial statements of foreign companies and to be
certain that the information included in the financial statements are high quality and certified
information by the financial audit. The harmonization to IFRS has a substantial cost for all the
countries which applied them, bu also brings a lot of benefits both for individual, multinational
companies and the respective national government, such as: relevance, high quality, comparable
reporting encouraging the international investments, the access on the international capital markets,
an easier control of the multinational companies. A transparent reporting system shall decrease the
capital cost – both for the company and for the country itself. Furthermore, the prerequisites of the
markets’ stability and economic development shall be established. One investor shall not invest in
countries where the financial statements are ambiguous, lack comparability or relevance. These are