Type of exposure the CFO of H&M in the U.S. be subjected to
I need help with 2 questions:
What type of exposure could the CFO of H&M in the U.S. be subjected to since H&M is based in Sweden and the financial statements are prepared according to IFRS?
Payments or liabilities may also be subjected to exposure. Explain the operational hedging strategies that may offset exposure
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The response addresses the query posted in 564 words with APA references
// The following section reflects a contrast between U.S. GAAP and IFRS with respect to H&M. This section further discusses the exposure that may foray before H & M due to difference in reporting standards.//
H & M enjoys a global presence. It has operations in many countries and follows reporting standards of respective countries. H & M is of Swedish origin and follows International Financial Reporting Standards. As opposed to its Swedish parent, the American counterpart of H & M has to US Generally Accepted Accounting Principles (GAAP) for financial reporting. This gives rise to the problem of different accounting treatments that H & M has to practice in the respective countries and further consolidation of accounts. Problem specific to GAAP is that it is frequently being subjected to change.
The International Accounting Standards Board (IASB) has been ...
Solution Summary
The expert determines the type of exposure the CFO of H&M in the United States be subjected to since H&M in based in Sweden and the financial statements prepared according to the IFRA. The response addresses the query posted in 564 words with APA references.