Comparison of Finnish Accounting Standards to International Financial Reporting Standards
Metsä-Tokila, Jessica (2021)
Metsä-Tokila, Jessica
2021
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Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-2021121025150
https://urn.fi/URN:NBN:fi:amk-2021121025150
Tiivistelmä
Finnish accounting began as a way for merchants to keep their books in order and take care of their money. Overtime the methods of bookkeeping evolved in order to fit the business culture and the internationalization of business in Finland. As a member of the European union, Finland's listed companies are required to report using International Financial Reporting Standards and Finnish Accounting Standards. Finland has adopted some of the International Accounting Standards into accounting legislation, but Finnish accounting significantly differs from International Financial Reporting Standards. International Financial Reporting Standards were created to harmonize accounting globally. This thesis will provide historical background on Finnish accounting and the creation of International Financial Reporting Standards. Understanding the history of Finnish accounting and the expenditure revenue theory will help show the accounting tradition of Finland and how much the accounting changed when Finland began to grow in international business. The purpose of this thesis will be to highlight the differences between FAS and IFRS.