Reference no: EM132463691

Question 1: Discuss the advisability of having one GAAP for all companies regardless of size or type of ownership, or allowing publicly held (larger) companies to have different GAAP than privately owned (small to medium-sized) companies. That is, with IFRS there are SME standards for small and medium-sized companies and full IFRS standards for larger companies. The IASB has also instituted SME for micro entities. The United States, predominantly has one GAAP for all companies, with very limited disclosure exceptions for private companies, like earnings per share and price-level disclosures. Team 4 will favor different standards for different companies, whether they are public or private or large versus small companies.