Contact Us
Sign In / Sign Up for FREE
Go to advanced search...

Differences between IFRS and AAIOFI standards - Term Paper Example

Comments (0) Cite this document
Differences between IFRS and AAIOFI standards Introduction For the economic well being effective capital market functioning is necessary and hence the need of financial standards. A consistent and comprehensive standard are necessary which will be based on clear principles…
Download full paper File format: .doc, available for editing
GRAB THE BEST PAPER92.2% of users find it useful
Differences between IFRS and AAIOFI standards
Read Text Preview

Extract of sample "Differences between IFRS and AAIOFI standards"

Download file to see previous pages The development of the international accounting standards and its acceptance would help in reducing the compliance costs and in the process would develop consistency in the quality of the audit. (IFRS in your pocket 2005, p. 2) What are IFRS standards? The International Financial Reporting Standards (IFRS) have been enforced by International Accounting Standards Committee for the better understanding by the equity investors, the lenders and anyone else who uses the information. The world securities regulators have been recommended by the International Organization of Securities Commission to allow the foreign users to use IFRS in making financial statements for the cross border offerings and listings. The uses of IFRSs have been made obligatory in the consolidated statements of the listed Europe companies from the year 2005. It has also been reported that many countries have started replacing their national GAAP by IFRSs in their domestic companies in comparison with the other nations which are adopting policies to approve IFRSs either verbatim or in the exact manner as their national standards. The IASB and the US counterpart of it, the Financial Accounting Standard Boards, have taken up a comprehensive agenda to converge the IFRSs and the US GAAP as much as possible over the next several years. A convergence project has also been initiated with Japan. The pre-requisites of the global business is a global capital market which is ensured by superior governance, better-quality laws and a set of internationally accepted accounting standards. The IFRSs standards have been largely accepted around the world. The Standards of IFRS 1. The initial acceptance of the International Financial Reporting standards. The objective of the standard was to lay down the process when the IFRSs are being newly adopted by any organization while drafting its financial statements for common purpose. The statement includes an overview of the financial statements for the first time entities and they should draft their accounting policies according to the IFRSs which have been enforced from 31st December, 2005. The organization is needed to frame its financial statements at least for the years 2005 and 2004 and also should reaffirm the opening balance sheet. As IAS 1 requires the comparative financial data of the previous one year minimum the opening balance sheet that will be produced should be of January 1, 2004 if not earlier than that. If the entity adopts the standards on 31st December 2005 and produce selected portion of the financial data on an IFRS basis for the period before 2004 along with its financial statements for the year 2004 and 2005, that would not change the fact that the opening balance sheet according to the IFRSs standards will be of 1st January 2004. (p. 57) 2. Share Based Statement The objective of the standard is to lay down for the transaction which involves the receiving or acquiring of goods or services by the entity either as a “consideration for its equity instruments or by incurring liabilities for amount based on the price of the entity’s shares or other equity instruments of the entity”. (p. 58) The Standard specifies the mandatory recognition of the entire share based payments in the financial statements on the basis of a fair value measurement. It also specifies the recognition of any goods and ...Download file to see next pages Read More
Cite this document
  • APA
  • MLA
(“Differences between IFRS and AAIOFI standards Term Paper”, n.d.)
Retrieved from
(Differences Between IFRS and AAIOFI Standards Term Paper)
“Differences Between IFRS and AAIOFI Standards Term Paper”, n.d.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Differences between IFRS and AAIOFI standards

An Analysis of the Differences in Brain Processes of Males and Females during Language Tasks

Such is the case with the development of cognitive functions and language skills. While the brain may have complexities that we simply haven’t even yet scratched the surface of, seemingly every day there are advancements in our knowledge of brain functions.

MRI’s and various cognitive function tests have shown that males and females use different parts of their brains while performing the exact same language tasks; the biological basis for this is due to the organizing effects of testosterone and estrogen. Females have long been known to be slightly ahead of males as far as language skills at younger ages, but this could also be attributed to the fact that overall females develop earlier than males and reach...
7 Pages (1750 words) Case Study

The Distinction Between the Tort of Negligence and the Tort of Nuisance

There are many instances in which establishing a claim in private nuisance does not require proof of negligence and it, therefore, remains necessary to maintain the tort of private nuisance distinct from the tort of negligence. The discussion that follows will demonstrate the necessity by comparing and contrasting both torts.
The tort of negligence is founded on the principles enunciated in the House of Lords decision in Donoghue v Stevenson which essentially defines the duty of care and situations in which a breach of that duty will give rise to a claim in negligence. Lord Atkin explained that we are required to take all necessary precautions to prevent injury to our neighbours. He goes on to fully explain the duty of care i...
17 Pages (4250 words) Case Study

The Difference between Prudential and Protective Regulations

Governments attempt to regulate and organize different fields of life in their respective countries. This need for regulation has been created for a number of reasons. One prominent reason may be attributed to the fact that the government may assess a certain industry having a significant impact on the economy thereby embarking on a regulation endeavor. By these regulations, the government will be able to protect its markets from failure, leading to unwanted deficiencies such as monopoly, windfall profits, anti-competitive behavior, and predatory pricing.

One of the most important types of regulations that endeavor to protect consumers and restore confidence in the financial markets as being genuine is the regulation...

9 Pages (2250 words) Research Paper

Correlation between Motivation and Efficiency

It also has many warehouses to deliver chilled and frozen food to customers. It is highly unpleasant for the workers to work in the chilled warehouses. Just five years ago, one of the warehouses in Stroke-on-Trent introduced a new technical system that transformed the attitude of the workers and their efficiency.
Though the company spent almost £ 300,000 on installing a new system, it reckoned that by cutting down the mistakes and providing a better workplace for workers it could save that much amount in the first year itself. Prior to the installation of a new communication system, workers felt much boring with the old techniques of writing the movements of goods by a bit of paper and pencils. Apart from mistakes and e...
6 Pages (1500 words) Research Paper

Conflict Between Science and Religion

When the Copernican theory of planetary motion became well known in 1543 through the publication of his book, De revolutionibus, the geocentric model of the universe as implied in the Bible received a great setback. There were also questions raised about the notion that God created the earth and universe in seven days. The scriptures also speak in a plain manner that the earth is stationary, but science proved that the earth was rotating around the sun. To reconcile science and religion became a Herculean task for the faithful and several approaches were adopted to find out a coherent explanation.
“Grant us space from our meditations on the secret recesses of your law, and do not lock the gate to us as we knock. It is n...
22 Pages (5500 words) Assignment

Clinical Governance Approach between UK and Australia

The UK Department of Health defines it as “the framework through which NHS organizations are accountable for continuously improving the quality of their services and safeguarding high standards of care by creating an environment in which excellence in clinical care will flourish.” (Department of Health, 2004).

The term clinical governance gained importance following the high mortality rate for pediatric cardiac surgery at the Bristol Royal Infirmary. The incident led to the formation by the government in 1998 of the Kennedy Commission, which proved a turning point in overhauling the NHS (Kennedy, 2001). The commission’s final report recommended that change “can only be brought about with the willing...
11 Pages (2750 words) Term Paper

The Relationship Between Security, Risk and Health in a Large Organisation

Managers in modern organizations tend to use appropriately customized policies – in accordance with their firms’ needs and resources (employees, funds, technology) available. The current paper focuses on the examination of the various aspects of security, risk, health and safety within large organizations; Particular emphasis is paid on the fact that the demands of each one of these factors may be differentiated under the pressure of the market conditions and the organizational priorities. The case of Shell in Nigeria has been used as an example in order to show the potential co-existence and interaction of these factors within a specific organizational environment. The measures required and the role of the security ma...
9 Pages (2250 words) Coursework

Relationship between Money Supply and Inflation in Saudi Arabia

Over the recent past, the effects of money supply, debt and inflation have become contentious issues for debate. Furthermore, frequent cautions concerning the risk of very large budgetary deficits aver that this would send up the upcoming state debt and capital rate as indicated by the rates (interests). As a nation, Saudi Arabia has a bi and enduring budgetary deficit over the past two decades and the government has been forced to go into the market so as to have loan access and to make up for the deficits. Given the impact of this on inflation and other economic variables, it's imperative and of great alarm for strategy architects (strategists) to understand how microeconomics has an effect on money supply, financial plan defici...
10 Pages (2500 words) Speech or Presentation

Evaluation of Children with Visual Impairment between Ages 4-12

A visually impaired child may suffer from incomplete sight, reduced vision, total blindness as well as legal sightlessness (Kelley and Gale p 45). It is a condition that may become severe in a child, thereby affecting its growth and development. The impact is usually dependent on the kind of loss, age at which it occurs, as well as the general body functioning of the child. The normal interest that is usually evident amongst children on seeing attractive items in their surroundings lacks in a visually impaired child. This may interfere with the child’s learning capabilities unless he/she is assisted to learn. The development of social behavior in children usually depends on the ability to see parents or those in charge of ca...
6 Pages (1500 words) Coursework

Conflict Between Researh and Ethics on the Tuskegee Syphilis Study

... followed unethical means to realize study objective and have become textbook examples of unethical research study, one such study being the Tuskegee Study of Untreated Syphilis (Angell, 1997). The Tuskegee Study of Untreated Syphilis is widely considered as one of the most horrific studies in which the basic ethics of conduct has been totally disregarded. The study was based on the hypothesis that black and white people differed in their response to the disease. Before the study was initiated in 1928, the U.S Public Health Services (PHS) had already completed a study in Mississippi in which 25% of the participants who were all black had tested positive for the disease. The PHS intended to expand and continue the study in rural black...
7 Pages (1750 words) Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Term Paper on topic Differences between IFRS and AAIOFI standards for FREE!

Contact Us