[pic]Importance of IaS [pic]

Submitted to:

Md. Safayat Hossain Lecturer Dept. of Accounting & Information Systems University of Dhaka

Submitted by:

Md. Nur Alahi Jony ID: 13 105 4th Year, 2nd Semester B.B.A, 13th Batch Dept. of Accounting & Information Systems University of Dhaka.

Date of submission: January 11, 2011.

IMPORTANCE OF INTERNATIONAL ACCOUNTING STANDARDS

INTRODUCTION
With globalization everything is spreading worldwide and communication gets importance highly in this regard. Business operations are also spreading globally in an increasing rate. Among other matters, accounting is treated as the “Language of Business”. And the communication of accounting information is must to operate the business. As the consequence, a set of globally accepted accounting standards is necessary to introduce best possible communication of accounting matters worldwide.
NEED OF ACCOUNTING STANDARDS
Accounting is the art of recording transactions in the best manner possible, so as to enable the reader to arrive at judgments/come to conclusions, and in this regard it is utmost necessary that there are set guidelines. These guidelines are generally called accounting policies. The intricacies of accounting policies permitted Companies to alter their accounting principles for their benefit. This made it impossible to make comparisons. In order to avoid the above and to have a harmonized accounting principle, Standards needed to be set by recognized accounting bodies. This paved the way for Accounting Standards to come into existence.
Objective of Accounting Standards is to standardize the diverse accounting policies and practices with a view to eliminate to the