Exploring the Evolution and Influence of International Financial Reporting Standards (IFRS)

📚 The use of International Financial Reporting Standards (IFRS) is essential in today's globalized economy.

💼 IFRS provides consistent accounting practices and standards for companies around the world.

🌍 The need for a common accounting language arose due to globalization and increased international trade.

📚 The development of accounting standards started in the early 1900s with the fusion of professional accounting associations.

💼 The United States became a major economic power, leading to the rapid spread of accounting principles worldwide.

🔍 The establishment of the Financial Accounting Standards Board (FASB) in 1973 marked a significant milestone in standardizing accounting practices.

✨ US GAAP consists of FASB's accounting research bulletins, opinions, and FASB's financial accounting statements.

🌍 The history of International Financial Reporting Standards (IFRS) dates back to 1966, when a group of accountants from the US, UK, and Canada established a common study group.

📈 The convergence of accounting standards between FASB and IFRS has been driven by the need for a unified global financial reporting framework.

🌍 The formation of the European Union sparked the need for accounting convergence and led to the creation of the International Accounting Standards Committee (IASC) as the issuer of International Financial Reporting Standards (IFRS).

📝 European companies faced difficulties and disadvantages when adopting US accounting standards, leading to the European Union's push for a unified set of accounting standards accepted globally.

🤝 The agreement of Norwalk in 2002 between the IASC and the Financial Accounting Standards Board (FASB) marked an important step towards accounting convergence and the harmonization of international and US accounting standards.

📋 The History of International Financial Reporting Standards (IFRS) and the convergence with US Generally Accepted Accounting Principles (GAAP).

🤝 The objectives were to reduce differences between US GAAP and IFRS, improve capital market efficiency, ensure consistent accounting standards, and enhance financial information comparability.

💡 The convergence program involved joint meetings, aligning agendas, coordinating activities, and addressing existing differences through short-term and long-term convergence projects.

📚 There are specified methods for determining inventory costs under NIF and US GAAP.

💵 The presentation of cash flows differs between NIF and US GAAP.

💰 Recognition of revenue and lease accounting also have variations under NIF and US GAAP.

📚 The video provides an analysis of the origins, issuance, and usage of the International Financial Reporting Standards (IFRS).

🔎 The differences in classification of assets and subleases between IFRS and US Generally Accepted Accounting Principles (US GAAP) are discussed.

📋 A comprehensive overview of the current inventory of IFRS and its interpretations is presented.