Premium Essay

Importance of Ias

In: Business and Management

Submitted By jonymna
Words 529
Pages 3
[pic]Importance of IaS [pic]

Submitted to:

Md. Safayat Hossain Lecturer Dept. of Accounting & Information Systems University of Dhaka

Submitted by:

Md. Nur Alahi Jony ID: 13 105 4th Year, 2nd Semester B.B.A, 13th Batch Dept. of Accounting & Information Systems University of Dhaka.

Date of submission: January 11, 2011.

IMPORTANCE OF INTERNATIONAL ACCOUNTING STANDARDS

INTRODUCTION
With globalization everything is spreading worldwide and communication gets importance highly in this regard. Business operations are also spreading globally in an increasing rate. Among other matters, accounting is treated as the “Language of Business”. And the communication of accounting information is must to operate the business. As the consequence, a set of globally accepted accounting standards is necessary to introduce best possible communication of accounting matters worldwide.
NEED OF ACCOUNTING STANDARDS
Accounting is the art of recording transactions in the best manner possible, so as to enable the reader to arrive at judgments/come to conclusions, and in this regard it is utmost necessary that there are set guidelines. These guidelines are generally called accounting policies. The intricacies of accounting policies permitted Companies to alter their accounting principles for their benefit. This made it impossible to make comparisons. In order to avoid the above and to have a harmonized accounting principle, Standards needed to be set by recognized accounting bodies. This paved the way for Accounting Standards to come into existence.
Objective of Accounting Standards is to standardize the diverse accounting policies and practices with a view to eliminate to the…...

Similar Documents

Premium Essay

Importance of

...Between the 12th and 19th centuries, feudal Japan had an elaborate four tier class system. Unlike European feudal society, in which the peasants (or serfs) were at the bottom, the Japanese feudal class structure placed merchants on the lowest rung. Confucian ideals emphasized the importance of productive members of society, so farmers and fishermen had higher status than shop-keepers in Japan. At the top of the heap was the samurai class. The Samurai Class: Feudal Japanese society was dominated by the samurai warrior class. Although they made up only about 10% of the population, samurai and their daimyo lords wielded enormous power. When a samurai passed, members of the lower classes were required to bow and show respect. If a farmer or artisan refused to bow, the samurai was legally entitled to chop off the recalcitrant person's head. Samurai answered only to the daimyo for whom they worked. The daimyo, in turn, answered only to the shogun. There were about 260 daimyo by the end of the feudal era. Each daimyo controlled a broad area of land, and had an army of samurai. The Farmers / Peasants: Just below the samurai on the social ladder were the farmers or peasants. According to Confucian ideals, farmers were superior to artisans and merchants because they produced the food that all the other classes depended upon. Although technically they were considered an honored class, the farmers lived under a crushing tax burden for much of the feudal era. During the reign......

Words: 1404 - Pages: 6

Free Essay

Tok Ia Outline

...Robert Seitter 04/01/13 TOK IA (Outline) – Chinese Fur Farms Introduction Throughout the years the constant conflict of the Chinese fur farms has been an ongoing controversial issue that spans within a great amount of areas of knowledge. Within the Chinese fur farms animals the main goal of the production process is to make a maximum profit – at the expense of the animals. Organizations such as EU, and the UN have tried to impose policies upon china for the safety of the animals but the Chinese fur farms have yet to treat the animals ethically. Many efforts by global organizations such as PETA have been made to ban fur trading with china but despite that the fur trade with china has only strengthened and become a larger, lucrative powerful monopoly. Period. 8 - Blackmon Areas of Knowledge History Human Sciences Ethics Ways of Knowing Perception Emotion Reasoning Topic A – History (Politics) What political involvement does the U.S. have with the Chinese fur trade? What policies are implemented within China & the United States that deals with the protection of animals? UN, and the EU primarily deal with political issues regarding the fur trade. Federal Fur Labeling Act Law Topic A Counterclaim Why do the UN and EU feel the need to implement laws on China regarding the ethical treatment of animals? Foreign nations have no right to urge animal cruelty laws imposing their beliefs on China. Topic B Counterclaim Topic B – Human Science (Economy) The......

Words: 506 - Pages: 3

Free Essay

Ias 21

...étranger.(3) •Un changement de monnaie fonctionnelle dans NCEFC est comme dans le cas des IFRS, ne peut se produire que lorsqu’un changement significatif de faits et de circonstances a lieu.(3) 0 Chargement… 1. Détermination de la monnaie fonctionnelle(suite) (3) (1) Tableau 1. Difference entre IFRS , NCEFC et SP IFRS IAS 21 NCEFC Chapitre1651 SP Chapitre 2601 Une entité évalue ses propres actifs, passifs, produits et charges dans sa monnaie fonctionnelle; soit la monnaie de l’environnement économique principal dans lequel elle opère. une entité n’est pas expressément tenue d’évaluer l’unité de mesure dans laquelle elle évalue ses propres actifs, passifs, produits et charges dans ses établissements étrangères. Pour que le gouvernement puisse inclure des opérations en devises dans ses états financiers, il lui faut exprimer ces opérations dans sa monnaie de présentation. On suppose que le gouvernement établit ses états financiers en dollars canadiens. 0 1. Détermination de la monnaie fonctionnelle(suite) (1),(3),(6) 0 IFRS IAS 21 NCEFC Chapitre1651 SP Chapitre 2601 Divers indicateurs doivent être prises en compte: Primaires:, Ventes Charges Secondaires: activités de financement Conservation des fonds Complémentaires: degré d’autonomie; fréquence des transactions; incidence sur des flux de trésorerie. Memes indicators sont prises en consideration pour determiner la MF......

Words: 1653 - Pages: 7

Premium Essay

Ias 17

...derecognizes the asset and a buyer/lessor recognizes the asset. Further accounting treatment depends on the sale price: f the sale price is close to asset’s fair value, then the profit or loss from sale should be recognized immediately. If the sale price is below asset’s fair value, then it is necessary to check the rental payments. If the future payments are below market price, then the loss from the sale of asset should be amortized over the period of use. If the future payments are close to market rentals, then the loss from the sale of asset should be recognized immediately. If the sale price is above fair value, then the excess over fair value or “profit from sale” should be deferred and amortized over the period of use. Disclosures IAS 17 prescribes a full load of disclosures for every type of the lease. Except for general descriptions of the lease arrangements and other basic information about finance leases, both lessors and lessees are required to present reconciliation of future minimum lease payments (gross investment in the lease for the lessor) and their present value according to the period when they are due: not later than 1 year, later than 1 year and not later than 5 years; later than 5 years. The same applies to operating leases, however, here both lessors and lessees are required to present the future minimum lease payments under non-cancellable operating leases in the aggregate and for each of the following periods: not later than 1 year,......

Words: 341 - Pages: 2

Premium Essay

Ias 12

...In April 2001 the International Accounting Standards Board adopted IAS 12. IAS 12 has to do with the accounting treatment for Income Taxes. There have been many amendments and changes over the years with the last one being in 2010. The objective of International Accounting Standard 12 is to advise on the accounting treatment for income taxes. The main issue in accounting for income taxes is how to account for the current and future tax consequences of certain items. One item it advises on is the future recovery or settlement of the carrying amount of assets or liabilities that are recognized in an entity’s statement of financial position. The second main item the standard covers is transactions and other events of the current period that are recognized in an entity’s financial statements. It is essential in the recognition of an asset or liability that the reporting entity expects to recover or settle the carrying amount of that asset or liability. If it is probable that the recovery or settlement of that carrying amount will make future tax payments increase or decrease, this standard requires an entity to recognize a deferred tax asset or deferred tax liability with certain limited exceptions. Tax consequences of transactions and events are accounted for in the same way they transactions and events are accounted for. This means that if an event or transaction affects profit or loss then the tax consequence will also affect profit or loss. If an event or......

Words: 4042 - Pages: 17

Premium Essay

Ia Econs Tips

...This post will go through what you should write in your Economics IA, with step-by-step instructions and with word counts for each section. What you need to know before you write: 1) Avoid writing anything that isn’t going to earn you marks. You’re going to need all the words you can get for your analysis and evaluation. Avoid quotes from the article and introductions longer than 2 sentences. 2) Stick with one section of the course (micro, macro, international, or development). Don’t start off in micro (apple prices rise, supply and demand, elasticity) and then evaluate the potential macro effects (this could hurt economic growth). Even if this is true, the IA is about going deep into one part of the course, rather than showing the linkages between different parts. 3) Less is (often) more. Because of the very constraining word count (750 words) you’ll want to focus on really developing just one or two (two at the most) diagrams in your IA. And only evaluate one potential solution (the one in the article or one of your choice if (and only if) there isn’t one in your article. Some of you, I know, are wondering, “What if the article mentions two solutions? Like price ceilings AND subsidies?” Answer: the International Bacheloreate Organization says you can highlight the section of the article you’re going to focus on, so just highlight one solution (and not the other) and you’re good to go. Bibliographies are not obligatory, but they’re nice. And if you include them, they won’t......

Words: 1137 - Pages: 5

Premium Essay

Ias Propeerty

...IAS 40 International Accounting Standard 40 Investment Property This version includes amendments resulting from IFRSs issued up to 31 December 2010. IAS 40 Investment Property was issued by the International Accounting Standards Committee in April 2000. In April 2001 the International Accounting Standards Board (IASB) resolved that all Standards and Interpretations issued under previous Constitutions continued to be applicable unless and until they were amended or withdrawn. In December 2003 the IASB issued a revised IAS 40. Since then, IAS 40 and its accompanying documents have been amended by the following IFRSs: • • • • • • • IFRS 2 Share-based Payment (issued February 2004) IFRS 4 Insurance Contracts (issued March 2004) IFRS 5 Non-current Assets Held for Sale and Discontinued Operations (issued March 2004) IAS 1 Presentation of Financial Statements (as revised in September 2007)* Improvements to IFRSs (issued May 2008)* IFRS 9 Financial Instruments (issued November 2009)† IFRS 9 Financial Instruments (issued October 2010).† * † effective date 1 January 2009 effective date 1 January 2013 (earlier application permitted) © IFRS Foundation A1003 IAS 40 CONTENTS INTRODUCTION paragraphs IN1–IN18 INTERNATIONAL ACCOUNTING STANDARD 40 INVESTMENT PROPERTY OBJECTIVE SCOPE DEFINITIONS RECOGNITION MEASUREMENT AT RECOGNITION MEASUREMENT AFTER RECOGNITION Accounting policy Fair value model Inability to determine fair value reliably Cost model......

Words: 9481 - Pages: 38

Premium Essay

Ias 28: Accounting for Associates

...| IAS 28: Accounting for Associates | | Larry Richardson 6/16/2014 | Corporations tend to invest in other entities for various reasons but the main reason is to increase their own profits. When corporations purchase stock in other corporations there has to be a way to account for this transaction and to do this IAS 28 was introduced as Exposure Draft E28, Accounting for Investments in Associates and Joint Ventures, in July, 1986. The history of IAS 28 is as follows in the table below which shows the last amendment being in 2011 with an effective date of January 1, 2013. History of IAS 28 (as amended in 2011) July 1986 | Exposure Draft E28 Accounting for Investments in Associates and Joint Ventures | April 1989 | IAS 28 Accounting for Investments in Associates | 1 January 1990 | Effective date of IAS 28 (1989) | 1994 | IAS 28 was reformatted | December 1998 | IAS 28 was amended by IAS 39 Financial Instruments: Recognition and Measurement effective 1 January 2001 | 18 December 2003 | Revised version of IAS 28 issued by the IASB | 1 January 2005 | Effective date of IAS 28 (2003) | 10 January 2008 | Some significant revisions of IAS 28 as a result of the Business Combinations Phase II Project relating to loss of significant influence | 22 May 2008 | IAS 28 amended for Annual Improvements to IFRSs 2007 about impairment testing | 1 January 2009 | Effective date of May 2008 amendments to IAS 28 | 1 July 2009 | Effective date of January 2008......

Words: 3919 - Pages: 16

Premium Essay

Analysis of Ia Accompanying 4th Amld

...Claudio Rizzo 665131 Analysis of IA accompanying the Proposal for a Directive on the prevention of the use of the financial system for the purpose of money laundering and terrorist financing 1. Introduction The aim of the proposal published in 2013 and generally known as the fourth anti-money laundering directive, is to review previous regulation, 3th AMLD (Directive 2005/60/EC). European Commission needs to update it to hinder incoming threats and keep pace with the new international standards. My interest into this topic arose from mafia stories. When I was very young and I listened to tales about heroes such as Giovanni Falcone, Paolo Borsellino, Carlo Dalla Chiesa, I realized I wanted to try fighting, even just in my small way, criminal organizations. From 70’s until the early 90’s Italy was affected by continuous acts of violence carried out by terrorists and organized crime, which contributed to spread terror and uncertainty in a context which saw our country weakened by corruption. Things change and criminals’ ways to operate do too, but there is a need that never goes out of fashion for them: the attempt to conceal or disguise the true nature, source and ownership of the proceeds which have a criminal or illicit origin and transform those into seemingly legitimate income. Consequences would be a very strong negative impact on national GDP and, therefore, undermined stability and reputation of the financial sector. That is to say criminals will always try to...

Words: 5021 - Pages: 21

Free Essay

Differences Between Ias 39 and Ias 9

...5/6/2015 Salient differences between IAS 39 and IFRS 9 | Accounting For Investments Accounting For Investments Web site resources for the book 'Accounting for Investments' by R. Venkata Subramani Home Accounting Standards I F R S Indian Standards (AS) US GAAP Book­Volume­1 00 – Introduction Chapter Arrangement Foreword Preface Reviews 01 – Financial Instruments 02 – Trading – FVPL 03 – Available for Sale 04 – Transfer of Categories 05 – Derivatives Theory 06 – Index Futures 07 – Stock Futures 08 – Call Options 09 – Put Options 10 – Hedge Accounting 11 – Contract for Difference 12 – Short Selling 13 – ADR/GDR 14 – Disclosures Book­Volume­2 02 – Fixed Income Securities – FVPL News Americas Hedge Funds India Private Equity Sub­prime crisis Online Courses Accounting Standards Courses Financial Products Related Books Tutorials Credit Default Swaps Equity Shares Indian Income Tax Options Videos Subscribe http://accountingforinvestments.com/salient­differences­between­ias­39­and­ifrs­9/ 1/5 5/6/2015 Salient differences between IAS 39 and IFRS 9 | Accounting For Investments Salient differences between IAS 39 and IFRS 9 by R. Venkata Subramani On 12 November 2009, the International Accounting Standards Board (IASB) issued IFRS 9 Financial Instruments. Salient differences between IAS 39 and IFRS 9 Parameter IAS 39 IFRS 9 Name Financial Instruments: Recognition and Measurement Financial Instruments ......

Words: 965 - Pages: 4

Premium Essay

Role of Ias

...information is enhanced if it is comparable, verifiable, timely and understandable. The two fundamental characteristics involve: Relevance Relevant financial information is capable of making a difference in the decisions made by users. Information may be capable of making a difference in a decision even if some users choose not to take advantage of it or are already aware of it from other sources. Financial information can make a difference to decisions if it has: · Predictive value – It can be used to predict future outcomes. · Confirmatory value – It provides feedback about previous evaluations (it confirms whether past predictions were reasonable). Information's relevance is affected by its nature and materiality (in other words its 'importance'). Information may become less relevant if there is undue delay in its reporting. Application: The use of fair (market) value is said to be more relevant for decision-making than historic cost – e.g. PPE revaluation model, use of fair value for investment properties, use of recoverable amount in impairment. Required disclosures give relevant information – e.g. the separation of results from discontinued operations in the income statement, and the separation of assets held for sale assist with forecasts. Faithful representation If information is to be useful, it must represent faithfully the transactions and other events it purports to represent. A faithful representation will be: · Complete – All information......

Words: 2040 - Pages: 9

Premium Essay

Importance

...IMPORTANCE OF EDUCATION IN MODERN WORLD In the modern city, education is essential for every child. Education is a preparation for students before entering the society. School play the important role in educates and provoke the talent of the young generation to become a successful person in the future. Parents pinned their hopes, ambitions, and dream on their children. With this in mind, many parents try their best to let their children enroll in high qualification school. High qualification school will provide the good learning facilities, good learning atmosphere and environment to students. According to the historical record, the famous Chinese philosopher Mencius moved home three times due to his mother wants Mencius to improve his education. Besides, Kautilya, he is a philosopher, royal adviser, professor of economics and political science in India. He sufficient emphasis on the importance of education. Another key thing to remember that even a poor family also insists that send their children to school to get an education. In this day and age, provides a good education to every child is a contentious issue. Hence, the three discussion of the importance of education in the modern world is to change people’s life , to improve personal development and to innovative and improve technology. The importance of education is to change people’s Life. According to Anonymous (2012), education not only to get a job and also let people to leading a better future......

Words: 760 - Pages: 4

Premium Essay

Ias 19

...Please cite this paper as: Severinson, C. (2010), “The New IAS 19 Exposure Draft”, OECD Working Papers on Finance, Insurance and Private Pensions, No. 5, OECD Publishing. doi: 10.1787/5km7rq4hlw5g-en OECD Working Papers on Finance, Insurance and Private Pensions No. 5 The New IAS 19 Exposure Draft Clara Severinson * JEL Classification: G23, G32, M41, M52 * OECD, France THE NEW IAS 19 EXPOSURE DRAFT Clara Severinson September 2010 OECD WORKING PAPER ON FINANCE, INSURANCE AND PRIVATE PENSIONS No. 5 ——————————————————————————————————————— Financial Affairs Division, Directorate for Financial and Enterprise Affairs Organisation for Economic Co-operation and Development 2 Rue André Pascal, Paris 75116, France www.oecd.org/daf/fin/wp ABSTRACT/RÉSUMÉ The New IAS 19 Exposure Draft At the end of April 2010, the International Accounting Standards Board (IASB) published an exposure draft with proposed changes to International Accounting Standard No. 19 (IAS 19). IAS 19 is the current standard for the financial reporting of company pension obligations that stem from defined benefit (DB) and similar plans. It is required for exchange-listed companies in many parts of the world. If enacted, the changes to IAS 19 proposed by the IASB are expected to have a significant impact on company financials on a global basis. The following paper summarizes the proposed changes as presented in the April 2010 exposure draft and explores some of their implications...

Words: 3806 - Pages: 16

Free Essay

Chem Ia

...CHEM IA 11 Aim To determine the enthalpy change of reaction between zinc powder and aqueous copper(II) ions Uncertainties of Apparatus Electronic balance | ±0.001g | 50cm3 measuring cylinder | ± 0.5cm3 | Thermometer | ± 0.1oC | Digital stopwatch | ± 0.2s | Mass/g of zinc in weighing bottle measured by electronic balance for Method 1 Mass of Zn (±0.002) / g | 0.9123 | Mass of weighing bottle (± 0.001) / g | 3.5840 | Mass of Zn + weighing bottle ( ±0.001) /g | 4.4963 | Highest temperature recorded after adding Zn to copper (II) sulfate solution for Method 1 Initial temperature (±0.1) / ⁰C | 22.0 | Highest temperature (±0.1) / ⁰C | 31.5 | Temperature change (±0.2) / ⁰C | 8.50 | Mass/g of zinc in weighing bottle measured by electronic balance for Method 2 Mass of Zn (±0.002) / g | 0.9123 | Mass of weighing bottle (± 0.001) / g | 3.5840 | Mass of Zn + weighing bottle ( ±0.001) /g | 4.4963 | Temperature recorded before and after adding Zn is added to copper (II) sulfate for Method 2 Time (±0.2) / s | Temperature (±0.1) / ⁰C | 0.0 | 22.0 | 15.0 | 22.0 | 30.0 | 22.0 | 45.0 | 22.0 | 60.0 | 22.0 | 75.0 | 21.5 | 90.0 | 21.5 | 105.0 | 21.3 | 120.0 | 21.2 | 135.0 | 21.2 | 150.0 | 21.0 | 165.0 | 21.0 | 180.0 | 21.0 | 195.0 | 21.0 | 210.0 | 23.0 | 225.0 | 23.8 | 240.0 | 24.5 | 255.0 | 25.2 | 270.0 | 26.4 | 285.0 | 28.2 | 300.0 | 29.1 | 315.0 | 29.8 | 330.0 | 31.1 | 345.0 | 31.5 | (Highest......

Words: 731 - Pages: 3

Premium Essay

Beetroot Ia

...Beetroot IA Aim * To investigate the structure of a cell membrane Introduction The cell membrane is made up of the phospholipid bilayer which is infused with lipids and proteins which keep the membranes structure intact. Acids have properties which allow them to react with the lipids/ proteins- specifically the polypeptide chain; denaturing them which causes the membrane to break. This cause the organelles (such as pigment) in the cells in the membrane are released. Research question * How does the concentration of HCl affect the structure of the cell membrane of beetroot, measured by light transmittance through the HCl/beetroot solution? Hypothesis * As the concentration of HCl increases, so too will the density of light transmittance. This is because the more acidic the HCl pH (concentration) becomes the more damaged the cell membrane will become ultimately releasing more and more pigment. Variables Independent variable * Concentration of HCl * Range= 0.0%, 12.5%, 25.0%, 50.0%, 100.0% * 0.0%= 100% of distilled Water * 100%= 100% of 2.0 molˉ¹ HCI * Error= ±0.1% Dependent Variable * The transmittance of light through solution of beetroot pigment without beetroot in percentages. * Error= ±0.01% Controled/Fixed Variables * a table of the variables that will need to be controlled so as not to influence the results ( make it a fair test). Variable To Be Controlled | How it will be controlled | ......

Words: 3059 - Pages: 13