The Impact of Culture
1. Use Hofstede's cultural dimension index in Exercise 4 of Chapter 2 and Gray's accounting values in Chapter 2 to discuss implications for American internal auditors who have to audit subsidiaries of a U.S. parent in Sweden, Korea, and Brazil.
Discuss:
(1) the impact of Hofstede's cultural dimensions on relevant accounting values (conservatism, secrecy, and level of disclosure) of accountants in these three countries, and
(2) what American parent company and their internal auditors should do to cope with the impact of these accounting values on the financial reporting of these subsidiaries.
Discuss the following.
1. Cultural impact on translating IFRS into different languages. Be sure to include some examples from the article. Your discussion also should consist of the cultural differences per Hofstede's cultural dimensions that affect accounting interpretations/judgments across countries.
2 How to cope with cultural impact on (a) translating IFRS into different languages and (b) interpretation of IFRS across countries.
The Impact of Culture 1. Use Hofstede's cultural dimension index in Exercise 4 of Chapter 2...
Case 2-1 The Impact of Culture on Conservatism PARTI The framework created by Professor Sidney Gray in 1988 to explain the development country's accounting system is presented in the chapter in Exhibit 2.6. Gray theorized the culture has an impact on a country's accounting system through its influence on accoun ing values. Focusing on that part of a country's accounting system comprised of financial reporting rules and practices, the model can be visualized as follows: Financial reporting rules and practices...