Explain how international differences in the ownership and financing of companies could lead to differences in financial reporting.

As we know that, there are major international differences in accounting practices is not obvious to all accountants, let alone to non-accountants. This also includes the differences in the ownership and financing of companies that could lead to differences in financial reporting.
One of the differences in the ownership and financing of companies could lead to differences in financial reporting is external environment and culture. Clearly, its environment, including the culture of the country in which it operates, affects accounting. We can se from the argues of Hofstede stated that culture include a set of societal values that drive institutional form and practices.
Another reasons that could lead the differences in financial reporting are Providers of finance. Several countries like Germany, France and Italy, capital provided by banks in very significant. It’s difference with another countries like United States and Unite...