Graduation Year


Date of Submission


Document Type

Campus Only Senior Thesis

Degree Name

Bachelor of Arts



Reader 1

Matthew Magilke

Rights Information

© 2016 Jason H Harrington


While the international accounting community has widely adopted International Financial Reporting Standards (IFRS), the United States has remained independent, using United States Generally Accepted Accounting Principles (US GAAP). While the standards are similar in many ways, there are some crucial differences between the two. I analyze the differences between IFRS and GAAP accounting treatment in regards to intangible assets. I present theoretical scenarios and leverage previous studies in order to conclude the overall effect mandatory IFRS adoption would have on both investor and managerial decision-making. I conclude that IFRS adoption would have both positive and negative effects on the accuracy of financial reporting and decision-making. The main negative consequence identified is the ability for management of earnings by corporations. However, I concluded that educated investors should not be affected, as both US GAAP and IFRS require sufficient financial statement presentation and disclosures.

This thesis is restricted to the Claremont Colleges current faculty, students, and staff.