IFRS

Question 1

what does IFRS stand for

Answer 1

International Financial Reporting Standards

Question 2

What is the IFRS main purpose?

Answer 2

to facilitate the transmission of information

Question 3

Define Accounting Standardization

Answer 3

Process that pursues uniform accounting methods and practices for the preparation of the accounting information of companies, at the national level, facilitating its comparability.

Question 4

Accounting Standardization Objectives are…

Answer 4

1. Give guidelines to providers of accounting information on how they should prepare it;
2. guide the auditor in verifying the accounting information;
3. provide users with criteria on how the accounting information has been prepared.

Question 5

Define International Accounting Harmonization

Answer 5

Internationally, the Accounting Harmonization searches for uniform criteria that allow the approach of the accounting standards from different countries.

Question 6

What are some issues related to International Accounting Harmonization?

Answer 6

1. Financial markets, in an increasingly globalized context, need accounting information, which is generally prepared with different standards in each country;
2. Growth in international business requests accounting information among companies;
3. Multinational companies are the main interested in harmonization. Companies belonging to the same holding must prepare consolidated financial statements with homogeneous criteria.

Question 7

define International Accounting

Answer 7

Set of international activities designed for accounting harmonization, with the sole purpose of facilitating comparability of financial information.

Question 8

why was the International Accounting Standard Board - IASB (London, UK) created?

Answer 8

1. Put into service a set of unique and international accounting standards facilitating the comparability of the accounting information;
2. Work together with national bodies in different countries to achieve cohesion in accounting standards worldwide

Question 9

International Financial Reporting Standards(IFRS)

Answer 9

1. In the 1990s, increasing globalization accelerated the push for international standards and IASB became responsible for developing IFRS.
2. Used in over 100 countries around the world, including the countries in the European Union, Brazil, Australia, New Zealand, Canada, etc
3. Accounting standards and to assist preparers of financial statements when there are no standards for guidance.

Question 10

International Financial Reporting Standards(IFRS) Conceptual Framework

Answer 10

It provides a basis for preparing and presenting financial statements. Its purpose is to provide a structure for creating new accounting standards ant to assist preparers of financial statements when there are no standards for guidance.