The Value Of IFRS And Global Accounting To The Financial World

720 Words3 Pages
IFRS been used as a trail to make consistent accounting to the European Union but the value of IFRS quickly made the concept important around the world. However, it has been discussed that IFRS can really make a huge difference in financial world because that time IAS (International accounting standards) is been used for financial things and after a year is been replaced by IFRS. In 2001 IASC was restructured into the better financed IASB, under the supervision of a new IFRS foundation. During the 12 years of IASC, the IASB has introduced many new standards under IFRS and has overtaken the natural standard from IASC. More than 100 authorities have adopted IFRS but the weird thing happened during that time that IASB and IFRS did not took close…show more content…
The project has three goals to achieve, to maintain main source of information towards jurisdictional progress and reply to that many dissimilarities of IFRS exist over the world and also to recognize how the IFRS foundation can make attractive path while they adopt IFRS. To achieve all of those goals, IFRS is collecting more information across the world and publishing profiles about how it is used in appropriate way and also by doing survey they actually can have a idea , how it has to be done and fixed those errors in that…show more content…
Going concern- IF the management plans to liquidate the entity or to stop trading, or has no another option, otherwise financial statements are present on a going concern basis. Accrual basis of accounting- If in the Framework of IFRS they can satisfy the definition and recognition criteria than the entity shall acknowledge items as assets, liabilities, equity, income and expenses. Materiality and aggregation- All material class of same things has to be shown separately. If some of the items are not similar nature or function than it has to be presented separately unless they are immaterial. Offsetting- It is normally prohibited in IFRS. However, if some specific conditions can satisfy than we can do offsetting. Frequency of reporting- Financial statements has to thorough at agreement in a year. However some listed companies normally also publish temporary financial
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