Abstract

This paper traces the benefits of international accounting standards – their contribution to harmonization and
globalization by purposing and tasking for accounting management. Measuring in details their pros and cons
effects on the division of labour, financial innovation, company transactions and cost of capital it could be
author’s recommendation for the business management inside and outside of one country’s border. Especially
the multinational companies whose subsidiaries had to report for some purposes (e.g. tax, local borrowing,
benchmarking) using national accounting rules convert and consolidate their different framework for unified
financial statement where they were listed. With the growth of international business transactions by private and
public entities, organizations the need to coordinate different investment decisions has increased. A suitable
accounting information system can help multinational enterprises accomplish their managerial functions on a
global basis. In this viewpoint the adoption of international accounting standards can promote and support for
the business management.

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