Internal controls are crucial to companies that convert from U.S.GAAP to IFRS because of all of the following risks except:
A)Possible misstatement of financial information.
B)Possible fraud.
C)Controls are significantly different across the globe.
D)Ineffective communication of the change to investors,creditors,and others.
E)Management's inability to certify the effectiveness of the controls.

Question

Quizplus · Accepted Answer

While it is true that different countries have different internal control requirements, this risk does not necessarily pertain specifically to companies converting from US GAAP to IFRS. The other risks listed are all potential issues that may arise when transitioning to IFRS and highlight the importance of strong internal controls during this process.

Internal Controls Are Crucial to Companies That Convert from U