What executives and directors need to know about the important IFRS public-policy debate
Situation
Recognizing the value of high-quality, global accounting standards, the SEC is considering measures that could lead to retiring US GAAP and adopting International Financial Reporting Standards (IFRS) in the US. This would be a dramatic change that deserves executives’ attention now, as the debate begins.
Our perspective
Although there will be significant challenges along the way, the transition to IFRS will bring considerable benefits to US business.
Implications
Companies need to begin preparing without delay to be ready to take advantage of the benefits of IFRS when they become available. While the initial IFRS conversion will come at a cost, it will be outweighed by the benefits gained.
