Legal and regulatory influence on financial

In some cultures, annual financial statements are perceived to be mostly about taxation, not reporting economic performance. Political, legal, and regulatory risks The Rules on the Regulation of Franchise Italian Senate in articles under the Scope of Law demands that any third party business relations must be in writing or will be considered null in void.

need for regulatory framework for financial reporting

The reasons for the diversity in accounting regulations will be considered in more detail in Section 2. Because they control all operation of company, they will need information from both balance sheet and income statement.

The Industrial Revolution called for large investments in high risk projects, initially such as building canals and railways and then, later, factories. This section describes fraud and its characteristics. Reporting rules are not exactly the same in any two countries, and this is a fundamental issue around which much of the study of international accounting revolves.

In other words, Vingroup generated 0. One of the reasons that some European countries find it difficult to accept IFRS is that they are used to an environment where the rule changes occur once every 20 years, not one like the US, where several rules are changed each year.

Vingroup, Ever since possessors of wealth appointed other people to manage their money, the agents have been reporting back on what they did with it in the form of the stewardship report. Discussion This is a rather extreme not to mention unlikely!

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