Also refer to the MCom + MIB Student Guide

Description

This unit is concerned with issues in both financial and management accounting in international contexts. Particular attention is given to the concept of national culture and to how an understanding of cultural differences provides insights into cross-national differences in approaches to accounting issues.

This unit is more conceptual and less technical than some other accounting units. In order to understand the issues in this unit, students must be familiar with the fundamentals of accounting. The practical construction of a balance sheet using international accounting standards will, for example, be required in one of the weekly assignments. In many weeks however, the class will not be required to perform practical bookkeeping or calculations. Instead, we will discuss the cultural, political, historical and institutional aspects of accounting policy formulation, regulation and disclosure practices in a number of selected nations. Current issues in accounting standard-setting in an international context, including the debate on international harmonisation, are also examined. With respect to management accounting, the unit examines issues and problems facing international companies in organising and managing their global operations, and in designing and implementing management planning and control systems.

Topics

The concept of culture:

Cultural and non-cultural explanations of cross-national differences in accounting and management.

Management accounting topics:

Approaches to management planning, control, performance evaluation and decision-making in different countries and cultures; the design of management planning and control systems for international and global companies.

Financial accounting topics:

Common differences in accounting methods and disclosure practices; construction of financial reports using international accounting standards; accounting and corporate reporting regulation in different nations (nations to be discussed will be selected from Anglo-American, European and Asian societies); the international harmonisation debate; future directions.