Internal controls are crucial to companies that convert from U. S. GAAP to IFRS because of all of the following risks except: Multiple Choice Possible misstatement of financial information. Controls are significantly different across the globe. Possible fraud. Ineffective communication of the change to investors, creditors, and others. Management's inability to certify the effectiveness of the controls.

Controls are significantly different across the globe.

Explanation:

     Risk include misstatement of financial information, fraud, ineffective communication of the impact of this change for investors, creditors and others users of the financial information and management inability to certify the effectiveness of the control.

     Risk management can be defined as the process that allows individual risk event and overall risk to be understood and managed proactively, optimising success by minimising threats and maximising opportunities.

     Controls are significantly different across the globe does not impact to fact that an organisation are at risk, as risk has to be managed from the top corporate level. these threats or risk could stem from a wide variety of source.

This control is part of internal control which only focuses on the the procedure or policy put in place by management to safeguard assets, promote accountability, increase efficiency, and stop fraudulent behavior.

Controls are significantly different across the globe.

Explanation:

An internal control refers to the policy or procedure set up by the management of an organisation to foster accountability, protect assets, enhance efficiency, eradicate fraud, and ensure policies of the organisation are adhered with.

Put simply, internal control is put in place to with the aim of prohibiting the employees from stealing assets and perpetrating fraud.  

It is therefore important for companies that convert from U.S. GAAP to IFRS to put in place internal control due risks of misstatement of financial information, fraud, and lack of effective communication of the effect of the conversion to investors, creditors and other users of the financial information.

Therefore, the fact that controls are significantly different across the globe is not a risk associated with conversion from U.S. GAAP to IFRS.

the answer is b hope you pass

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