Ifrs

International Accounting Standards

Most Accounting firms look to see if your resume is filled with education and work experience in this field. When management for your job sees that you have a full education about the IFRS then you will be guaranteed a position for that company. Why is this? This can and will happen because the IFRS is expanding as the year’s progress. Sooner then later, companies all around the world will be looking towards IFRS outlines, rather then something else. I’ll be covering everything about the IFRS so you can become more educated towards this subject.

What is IFRS? IFRS is defined as being “a set of accounting standards developed by an independent, not-for-profit organization called the International Accounting Standards Board (IASB).” (TechTarget 1) You can view the IFRS as mentor or guidance to the accounting world. IFRS was made because the current accounting and reporting practices have fallen short of meeting the information needed by many companies in the 21st century. It helps businesses to prepare and disclose financial statements. Large companies seem to benefit by these standards because they have many subsidiaries in different countries. These standards help provide auditors with a cohesive and a well-rounded view towards finances. It is considered the accounting language company worldwide.

Next question is how did IFRS began and what is it’s background? IFRS represents a fundamental change for the U.S. accounting profession. IFRS replaced the older standards called IAS (International Accounting Standards). Many people seem to get confused towards the new standards because they are unaware that they old standards have indeed been replaced. The U.S. Securities and Exchange Commission has for many years been in strong advocate to get a prominent set of accounting standards that could serve as an outline for cross-border offerings. The FASB and the IASBB agreed on a common ground of high-quality, global...