International Accounting

This course is designed to provide students with an understanding of the theory and practice of financial accounting and reporting in an international context.

Throughout this course, students will

• learn about the main functions of financial accounting and reporting.
• understand why accounting historically has developed differently across countries, and why there has been a drive towards an international harmonization of accounting regulation and practice in more recent years.
• get (re-) acquainted with the basic techniques of financial accounting.
• become familiar with the components of financial statements (balance sheet, income statement, cash flow statement), and comprehend how they relate to each other.
• get introduced to International Financial Reporting Standards (IFRS), which are required or allowed as the basis for the financial reporting of companies in more than 100 countries around the globe; in the European Union, all stock-listed companies are required to prepare their consolidated financial statements in accordance with IFRS.
• also learn about the most important differences between IFRS and U.S. Generally Accepted Accounting Principles (US-GAAP), which form the basis for the accounting of companies that are listed on US stock-exchanges.
• become aware of the economic consequences of financial reporting, from the perspectives of preparers and of users of IFRS financial statements.