Program Overview

ACC260 International Accounting

This subject provides an insight into the accounting issues associated with the global business environment. An overview of the importance of international accounting and management control to the multinational enterprise and an appreciation of the reasons for diversity in accounting practices across the world lead to a study of the pressures for harmonisation of practice and theory. Specific topics of financial reporting analysis, segment reporting, foreign currency transactions and translation, accounting for inflation, management accounting and international auditing will give both a practical and theoretical perspective of current issues in international accounting.

Subject Information

• Grading System: HD/FL
• Duration: One session
• School: School of Accounting and Finance
• Prerequisites: ACC110

Learning Outcomes

Upon successful completion of this subject, students should:

• be able to explain the importance of accounting to international businesses
• be able to explain the role of management in controlling multinationals
• be able to explain the reasons for diversity and the ways to classify international accounting practices
• be able to discuss the pressures for international harmonisation of accounting practice and theory
• be able to evaluate the usefulness of financial reports prepared by multinational enterprises
• be able to analyse the issues involved with foreign currency transactions and translate foreign currency financial statements
• be able to describe the variety of approaches to accounting for inflation
• be able to compare accounting practices in specific topics across major world economies
• be able to describe the nature and problems associated with international management accounting, segment reporting, auditing and ethics

Syllabus

This subject will cover the following topics:

• Introduction to international accounting
• Management control of multinationals
• Diversity and classification of international accounting systems
• Harmonisation of international accounting
• Financial reporting analysis
• Segment reporting by multinationals
• Accounting for foreign currency transactions
• Translation of foreign currency financial statements
• Accounting for inflation
• Comparative worldwide accounting practices
• International management accounting control
• External auditing of foreign operations