Module 11

Question 1

Process for production of IFRS?

Answer 1

discussion paper
Exposure draft
Publication

Question 2

Process for producing or amending an ISA?

Answer 2

1. Research and consultation
2. Transparent debate
3. Exposure for public comment (120 day period)
4. Consideration of comments
5. Affirmative approval (vote of at least 2/3rds)

Question 3

What is the international accounting standards board?

Answer 3

Independent standard setting body of the IFRS foundation

14 experts with responsibility for development and publication of IFRS and for approving interpretations of IFRS as developed by the interpretations committee

Question 4

Two main Barriers to global adoption of IFRS?

Answer 4

Difference between US and international standards

Concern that International standards are overly onerous to small businesses

Question 5

Process for production of IFRS?

Answer 5

Discussion paper- not mandatory
Exposure draft - mandatory
Publication of IFRS after approval by board

Question 6

IASB conceptual framework for financial reporting procedures designed to ensure?

Answer 6

Transparency and accessibility
Extensive consultation and responsiveness
Accountability

Question 7

Authority of IASB?

Answer 7

No means of directly enforcing adoption, must be adopted by:
Governments
Individuals
Companies

Question 8

What is the IFAC?

Answer 8

International federation of accountants: global organisation for the accountancy profession.

PDedicated to public interest by strengthening profession and contributing to development of strong international economies.

Question 9

Role of the IAASB?

Answer 9

Enhance the quality and uniformity of practice worldwide and strengthen public confidence:

• setting high quality services standards
• facilitating convergence of standards

Question 10

What is the public interest oversight board?

Answer 10

To oversee public interest activities of the IFAC

Objective to increase investor confidence

Question 11

Other documents produced by IAASB include?

Answer 11

International standards on assurance engagements
International standards on related services
International standards on quality control
International standards on review engagements
International auditing practice notes

Question 12

Impact of IAASB pronouncements on US?

Answer 12

Standards issued by American Institute of certified public accountants (AICPA)

US GAAS

PCAOB supervisors auditors of public companies

Question 13

AICPA June 2016

Answer 13

Clarified including convergence with IAASB ISAa

PCAOB specific to SEC companies so not converged with ISAs