Chapter 27: Regulatory and Ethical Considerations

In this section

• IFRS vs. US GAAP Regulatory Environment
  Explore key differences between IFRS and US GAAP, their standard-setting bodies, and how regulators enforce compliance on a global scale.
• Ethics in Financial Reporting and Disclosure
  Explore how adherence to ethical standards safeguards the credibility of financial statements, fosters transparency, and protects stakeholder trust.
• Potential Conflicts of Interest for Analysts
  Explore common scenarios where financial analysts face competing interests, including pressures from investment banking divisions, sell-side and buy-side influences, and insider relationships, and learn ethical strategies to maintain independence and objectivity.
• Vignette: Ethical Challenges in FSA
  Discover a scenario-based exercise highlighting ethical dilemmas in financial statement analysis, covering ambiguous revenue recognition, borderline impairment decisions, and conflicts of interest in research coverage. Learn best practices, examine potential red flags, and explore how to uphold professional responsibility under IFRS and US GAAP.