ABSTRACT
At the start of this section we mentioned six obstacles to understanding accounts across national borders. In comparing UK and US accounts, only one, currency, is a major problem. Language, culture, legal systems, tax rules and accounting practices are all similar (though certainly not identical). And, as we have just seen, there are a number of major differences in accounting practice in specific areas
When we come to compare UK accounting with other countries, however, the obstacles multiply. Apart from former British colonies, probably the Netherlands is closest to the UK/US approach. It has a mature capital market (the Amsterdam stock exchange was founded as long ago as 1602), with three large multinational companies in Philips, Royal Dutch Shell and Unilever. In all three countries general business acceptance of accounting rules has been important (at least until recently). But differences in language and in legal systems still represent serious hurdles.
