How many financial reporting standards are there?
There are currently 16 International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB). 2. What is the purpose of IFRS rules?
As of 2023, there are 28 accounting standards in India. What is the purpose of AS 9: Revenue Recognition? The objective of AS 9: Revenue Recognition is to explain how companies should document the money they get from sales, services, interest, royalties and dividends in their finances.
The FASB created the Accounting Standards Codification® (ASC) in 2009 to simplify access and provide relevant SEC guidance alongside GAAP pronouncements. The ASC groups the 800+ FASB standards by topic to reduce the amount of time and effort needed to research an issue.
The objective of this Standard is to lay down principles and procedures for preparation and presentation of consolidated financial statements. Consolidated financial statements are presented by a parent (also known as holding enterprise) to provide financial information about the economic activities of its group.
As per Ind AS 27, when an entity prepares separate financial statements, it shall account for investments in subsidiaries, joint ventures and associates either at cost, or Fair value as per Ind AS 109. Further, the entity shall apply the same accounting for each category of investments.
Ind AS 41 prescribes the accounting treatment for biological assets except for bearer plants, when such biological assets are used for agricultural activity and for the initial measurement of agricultural produce at the point of harvest.
IAS 33 deals with the calculation and presentation of earnings per share (EPS). It applies to entities whose ordinary shares or potential ordinary shares (for example, convertibles, options and warrants) are publicly traded. Non-public entities electing to present EPS must also follow the Standard.
The FASB Accounting Standards Codification® is the single official source of authoritative, nongovernmental U.S. generally accepted accounting principles (GAAP).
The generally accepted accounting principles (GAAP) are a set of accounting rules, standards, and procedures issued and frequently revised by the Financial Accounting Standards Board (FASB). Public companies in the U.S. must follow GAAP when their accountants compile their financial statements.
AS 28 defines, inter alia, the following terms: An impairment loss is the amount by which the carrying amount of an asset exceeds its recoverable amount. Recoverable amount is the higher of an asset's net selling price and its value in use.
What is the 37 accounting standard?
IAS 37 Provisions, Contingent Liabilities and Contingent Assets outlines the accounting for provisions (liabilities of uncertain timing or amount), together with contingent assets (possible assets) and contingent liabilities (possible obligations and present obligations that are not probable or not reliably measurable) ...
The objective of this Standard is to prescribe principles for the determination and presentation of earnings per share which will improve comparison of performance among different enterprises for the same period and among different accounting periods for the same enterprise.
IAS 40 Investment Property applies to the accounting for property (land and/or buildings) held to earn rentals or for capital appreciation (or both). Investment properties are initially measured at cost and, with some exceptions.
The objective of this Standard is to ensure that appropriate recognition criteria and measurement bases are applied to provisions and contingent liabilities and that sufficient information is disclosed in the notes to the financial statements to enable users to understand their nature, timing and amount.
FASB 52 is a guideline for foreign currency translation issued by the Financial Accounting Standards Board (FASB). You can perform FASB 52 currency translation for a specific rate type and specific ledger account. You must define translation adjustment schemes to link rate types to ledger accounts.
International Accounting Standard 35 (IAS 35), "Discontinuing Operations," was a standard issued to provide guidance on how to account for and report a discontinuing operation. However, it's important to note that IAS 35 has been superseded by IFRS 5 "Non-current Assets Held for Sale and Discontinued Operations."
FAS 50 Summary
This Statement requires a licensee to record minimum guarantees as assets and charge them to expense in accordance with the terms of the license agreement. It also establishes accounting standards for artist compensation cost and cost of record masters.
The core principle in IAS 36 is that an asset must not be carried in the financial statements at more than the highest amount to be recovered through its use or sale. If the carrying amount exceeds the recoverable amount, the asset is described as impaired.
ASC 606 directs entities to recognize revenue when the promised goods or services are transferred to the customer. The amount of revenue recognized should equal the total consideration an entity expects to receive in return for the goods or services.
Ind AS 116 introduces a single lessee accounting model and requires a lessee to recognise assets and liabilities for all leases with a term of more than 12 months, unless the underlying asset is of low value.
What is the accounting standard 26 and 38?
AS 26 permits recognition if the entity has contractual rights and control over such rights. Ind AS 38 permits recognition of intangible assets only if the entity has a contractual right over the intangible and control over such rights.
AS 30 – Measurement and Recognition of Financial Instruments; AS 31- Presentation of Financial Instruments; AS 32- Disclosures required for reporting of Financial Instruments.
Significant Highlights of IAS 39
Under IAS 39, all financial assets and financial liabilities are recognised on the balance sheet, including all derivatives. They are initially measured at cost, which is the fair value of whatever was paid or received to acquire the financial asset or liability.
Ind AS-34 requires that an entity apply the same accounting policies in its interim financial statements as in its annual statements may seem to suggest that interim period measurements are made as if each interim period stands alone as an independent reporting period.
The most notable principles include the revenue recognition principle, matching principle, materiality principle, and consistency principle. Completeness is ensured by the materiality principle, as all material transactions should be accounted for in the financial statements.
