Case Study "Tomsel Corp." First-Time Adoption of International Financial Reporting Standards by U.S. Company‪.‬

Executive Summary Recent developments in global financial reporting have increased the likelihood of U.S. public companies being allowed or even required to adopt International Financial Reporting Standards (IFRS) in the not-too-distant future. In preparing for the transition from U.S. Generally Accepted Accounting Principles (U.S. GAAP) to IFRS, it is useful for firms, auditors, educators and students to consider an example of a company going through the U.S. GAAP-to-IFRS transition exercise. Although a growing number of U.S. companies have been affected by IFRS, especially as subsidiaries or investees of international companies using IFRS, real-life examples of IFRS adoption for primary reporting purposes are rare and limited to foreign entities in IFRS jurisdictions using previously U.S. GAAP instead of their national GAAP for financial reporting purposes.