This paper examines the accounting for securitizations under US GAAP and international financial reporting standards (IFRS). Using a sample securitization of the Ford Motor Company, we demonstrate substantial differences depending on whether the securitization is recorded following US GAAP or IFRS. Our analysis suggests international convergence of accounting standards will be more challenging as the FASB and IASB begin tackling issues, such as asset securitization, that have important economic consequences a…
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