international companies can choose how they present financial information to outside parties. the rules and regulations between countries vary significantly. Accountants worldwide are familiar with the words generally accepted accounting principles. Some of the basic principles.
The going concern principle
The prudence principle
The matching principle
The consistency principle
The development of these principle has greatly differed between countries. For example, in most English-speaking countries it is often accepted practice to offset unrealized gains from unrealized losses, or re-value long term assets upwards, provided sufficient proof of the current value can be shown. This means that accounts can have very different values, depending on whether the company chooses to follow local accounting standards. International financial reporting standards formerly the international accounting standards or U.S. GAAP. Whether the company can chooses is governed by the laws of the country where it is registered. For example, the U.S.A. and Japan currently allow publiclytraded companies to prepare their financial statements using the standards of the international accounting standards committee, but they must also include a reconciliation to domestic