Marisol
I think that the term harmonize means that accountants want to come together so everyone can use the same accounting system. Since there are different accounting systems globally, then this might just be a good idea. Harmonization could result in better financial reporting for a U.S. parent company with many foreign investments because they would all be using the same accounting standards and would have a clear view of the financial statements just like in the U.S. “With the activities and interests of investors, lenders and companies becoming increasingly global, the Commission is increasing its involvement in a umber of forums to develop a globally accepted, high quality financial reporting framework” (International Accounting Standards ,” 2000).
Reference:
International Accounting Standards. (2000, February 18). Retrieved from
https://www.sec.gov/rules/concept/34-42430.htm
