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In the United States, public companies are required to report financial results using GAAP. However, accounting standards vary around the world and that makes comparing financial results of firms located in different countries quite challenging. In recent years, many countries have adopted a system of accounting principles known as International Financial Reporting Standards (IFRS). Why hasn't the U.S. followed the global trend of IFRS adoption? What cost and benefits might be associated with a switch to IFRS in the United States?
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