The Method of Choice for Reporting Comprehensive Income

Kendra Huff, Natalya (Natasha) Delcoure


Globalization of financial markets and exponential growth of cross-listing of foreign companies on stock exchanges in other countries throughout the world call for a need of a single global accounting language which ensures relevance, completeness, understandability, reliability, timeliness, neutrality, verifiability, consistency, comparability and transparency of financial statements. The International Accounting Standards Board (IASB) introduced International Financial Reporting Standards (IFRS). The growing acceptance of IFRSs across the world presents an important challenge and represents a fundamental change in financial reporting. This study contributes to the latest discussions on international financial reporting by reviewing corporate financial statements of Fortune 500 companies to determine how corporations are reporting comprehensive income. We find that companies across the sample are consistent in reporting OCI - they utilize a separate statement for OCI reporting.


comprehensive income, IFRS, GAAP, financial reporting


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