I want some assistance understanding the following:
If an investor wants to compare the financial results of The Gap, inditex, and H&M what difference does it make that their financial statements are prepared according to different GAAP? Would you expect there to be a big difference between US GAAP as used by the The Gap and IFRS as used by H&M and inditex? (I dont think there is a big difference since the all use IFRS)
Q1. What are the major sources of influences on H&M accounting standards and practices?
Q2. What type of exposure could the CFO of H&M in the US be subjected to since H&M is based in Sweden and the financial statements are prepared according to IFRS? (IASB? Maybe?)
Q3. Payments and liabilities may also be subjected to exposure. Explain the operational hedging strategies that may offset exposure.