Summary of all the Accounting Standards ACCOUNTING STANDARDS CRITERIA FOR CLASSIFICATION OF ENTERPRISES 1 Criteria for. Definitive benchmarks prescribed by a country's Accounting Standards Board These rules must be applied to all financial statements in order to provide a true. Accounting standards improve the transparency of financial reporting in all countries. In the United States, the Generally Accepted Accounting Principles form the.
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List of International Financial Reporting Standards - Wikipedia
Accounting standards specify when and how economic events are to be recognized, measured and displayed. External entities, such as banks, investors and regulatory agencies, rely on accounting standards to ensure relevant and accurate information is provided about the entity. These technical pronouncements have ensured transparency in reporting and set the boundaries for financial reporting measures.
When items of all accounting standards and expense within profit or loss from ordinary activities are of such size, nature or incidence that their disclosure is all accounting standards to explain the performance of the enterprise for the period, the nature and amount of such items should be disclosed separately.
The nature and the amount of each extraordinary item should be separately disclosed in the statement of profit and loss in a manner that its impact on current profit or loss can be perceived.
The nature and amount of prior period items should be separately disclosed in the statement of profit and loss in a manner that their impact on the current profit or loss can be perceived.
The effect of a change in an accounting estimate should be included in the determination of net profit or loss in; a the period of the change, if the change affects the period only; or all accounting standards the period of the change and future periods, if the change affects both.
Any change in an accounting policy which has a material effect should all accounting standards disclosed.
The impact of, all accounting standards the adjustments resulting from, such change, if material, should be shown in the financial statements of the period all accounting standards which such change is made, to reflect the effect of such change.
Where the effect of such change is not ascertainable, wholly or in part, the fact should be indicated. If a change is made in the accounting policies which has no material effect on the financial statements for the current period but which is reasonably expected to have a material effect in later periods, the fact of such change should be appropriately disclosed in the period in which the change is adopted.
A change in accounting policy consequent upon the adoption of an Accounting Standard should be accounted for in accordance with the specific transitional provisions, if any, contained in that Accounting Standard.
However, disclosures required by paragraph all accounting standards of the Statement should be made unless the all accounting standards provisions of any other Accounting Standard require alternative disclosures in this regard. Where any policy was applied to immaterial items in any earlier period but the item is material in the current period, the change in accounting policy, if any, shall not be treated as a change in accounting policy and accordingly no disclosure is required e.
Basis must be consistently followed and disclosed. Any change to be quantified and disclosed.
Summary of all the accounting standards
Rates of depreciation should be disclosed. A change in method followed be made only if required by the statute, compliance to All accounting standards Standard, appropriate preparation or presentation of the financial statement. In cases of extension, revaluation or exchange fluctuation, depreciation to be provided on adjusted figure prospectively over the residual useful life of the asset.
Historical cost, depreciation for the year and accumulated depreciation be disclosed. Revision in method all accounting standards depreciation be made from date of use. Change in method of charging depreciation is change in accounting policy be disclosed.
It all accounting standards not applicable for construction project undertaken by the entity on behalf of its own, for example, a builder constructing flats to be sold. It is also not applicable all accounting standards Service Contracts which are not related to the construction of asset.
These rules must be applied to all financial statements in order to provide a true and fair view of the firm's financial position, and a standardized method of comparison with financial statements of the other firms. Who sets Accounting Standards?