approach * Can cause unnecessary complications * Confusion * Encourages financial engineering 2. Rules-based accounting adds unnecessary complexity, encourages financial engineering and does not necessarily lead to a ‘true and fair view’ or a ‘fair presentation’. Discuss Rules-based accounting has not worked in practice. The present U.S. system does not produce accurate reporting. This has made standards longer and complicated and has led to arbitrary criteria for
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HKAS 33 Issued March 2004Revised March 2010 Hong Kong Accounting Standard 33 Earnings per Share HKAS 33 COPYRIGHT © Copyright 2012 Hong Kong Institute of Certified Public Accountants This Hong Kong Financial Reporting Standard contains IFRS Foundation copyright material. Reproduction within Hong Kong in unaltered form (retaining this notice) is permitted for personal and non-commercial use subject to the inclusion of an acknowledgment of the source. Requests and inquiries concerning
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False 1.5 ___________________ is a network-based organisation which develops the framework for voluntary sustainability reporting. a. Global Reporting Initiative b. Global Sustainability Reporting c. Global Environmental Reporting d. Global Voluntary Reporting Questions continued over… Page 1 of 5 1.6 Which of these are the qualitative characteristics of financial information? I. Comparability II. Consistency III. Accountability IV. Understandability a. b. c. d. I and II I and III I, II
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needs, rather than for external reporting purposes. The needs were more focus on individual rather than for mass review or scrutiny. At that point of time standards and harmonization of reporting were not highly regarded for as businesses, investor and financial trades were very much simplified and manageable. This is no longer feasible when globalization and financial structures and dealings goes across borders. Complications arise when individual national financial standards are compared with each
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pocket guide 2009 Global guide to IFRS providing comprehensive practical guidance on how to prepare financial statements in accordance with IFRS. Includes hundreds of worked examples and extracts from company reports. The Manual is a three-volume set comprising: • Manual of accounting – IFRS 2010 • Manual of accounting – Financial instruments 2010 • Illustrative IFRS corporate consolidated financial statements for 2009 year ends Provides a summary of the IFRS recognition and measurement requirements
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IASB standards have a competitive advantage in the stock market. The IASB sets the international rules and practice of the financial information, working to minimize the differences between the standards (IFRS) throughout the world. Companies that follow the International Financial Reporting (IFRS) standards have transparent, comparable, relevant, consistent and reliable financial information, on which the investors can count on. Adopting one type of accounting standards reduces the cost and time
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(IASB) first issued IFRS 9 Financial Instruments in November 2009, which dealt with the classification of financial assets and aspects of their measurement (Anna-Maija Lantto, Petri Sahlstrom, 2009). Consequently, the AASB first issued AASB 9 Financial Instruments in December 2009. After that, the IASB re-issued IFRS 9 in October 2010, setting out requirements for the classification, and aspects of measurement, recognition and derecognition of both financial assets and financial liabilities. Most of
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There are certain accounting reporting criteria contained in the International Financial Reporting Standards (IFRS) and Generally Accepted Accounting Principles (U.S. GAAP) that have been used to standardize the way companies book their assets, expenses and liabilities. Open the possibility to report the assets at current market value can generate risks in terms of control; this is because market price can be adjusted due to managers’ and accountant point of view so in the end this can be used as
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Asia-Pacific region, the Journal of Contemporary Accounting & Economics also encourage proposals from countries outside the Asia-Pacific region in the following major areas associated with accounting and auditing issues: financial contracts, corporate governance, capital markets, financial institutions and economics of organizations. The International Journal of Accounting The journal assists in the comprehension of the present and potential capability of accounting to support in the recording and
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IASB and FASB Revenue is a critical number to any user of financial statements in determining an organization’s financial position and performance. Although this is the case, there are many differences between revenue recognition for U.S. GAAP (Generally Accepted Accounting Standards under the FASB) and IFRS (International Financial Reporting Standards under IASB). Along with these differences comes need for improvement in both reporting methods. IFRS has fewer requirements for revenue recognition
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