Wednesday, February 26, 2020

Convergence between GAAP and IFRS Assignment Example | Topics and Well Written Essays - 1500 words

Convergence between GAAP and IFRS - Assignment Example The US Generally Accepted Accounting Principles is the major accounting standard used in the United States (Walton 45-46). The International Financial Reporting Standard on the other hand is the accounting standard practiced in over 110 countries in the world. U.s. GAAP is mostly considered as a more rule based accounting system, while IFRS is mostly based on principles. It is therefore obvious that the IFRS and the U.S. GAAP do not agree on every issue (IASCF and IASB 80-101). This paper seeks to focus on the convergence between the Generally Accepted Accounting Principles (GAAP) and the International Financial Reporting Standard. The International Financial Reporting Standard (IFRS) is an independent body in the private sector. It develops and approves International Accounting and Financial Reporting Standards. The International Financial Reporting Standard (IFRS) functions under the International Financial Reporting Foundation oversight. It was formed in 2001 in replacement of the International Accounting Standards Committee. International Financial Reporting Standard, under the constitution of International Financial Reporting Foundation, has a full responsibility for all technical issues of the financial reporting standards such as: preparation and issuing the interpretations of exposure drafts and International Financial Reporting Standards, full discretion in pursuing and developing technical agenda dependent on requirements of consultation with the public and trustees, the issuing and approval of interpretations by the International Financial Reporting Standards Interpretations Committee (IASB 19-21)). ... SEC registrants are however required generally in presenting expenses that are based on function such as administrative costs and cost of sales. The criteria of extraordinary items are also restricted to both the infrequent and unusual items. In terms of the criteria of the discontinued operations, these operations are for those components that are specifically disposed of or held for sale, given that there will be no involvement with the disposed component or significant cash flows (Shamrock 29-30). On the other hand, in classifying expenses in the IFRS, expenses may be presented based on either nature or function such as depreciation and salaries. Particular disclosures on the expenses’ nature must be included in the notes if function is selected. There is no criterion of extraordinary items in the IFRS as it is prohibited. In addition, the classification of discontinued operations in IFRS is for components that are disposed of or held for sale. These components are either o f a separate geographical area or a different business line (IASCF and IASB 105-110). The layout of the balance sheet in the U.S. GAAP is not generally provided in accordance to a specific layout, but the public companies follow the specified requirements in the S-X regulation. The presentation of debt that has been violated is presented as non-current in case lender agreement to waive right for repayment demand exists for more than a year prior to the issue of financial statements. In the U.S GAAP, the non-current and current classification of deferred tax liability and asset is based generally on the nature of related liability or asset. This is a requirement. The U.S GAAP has no requirement for a third balance sheet. On the

Monday, February 10, 2020

Summary Essay Example | Topics and Well Written Essays - 500 words - 3

Summary - Essay Example Method In order to gather the response from children the author asked them to create self-portraits with their names beneath. In addition family questionnaires were also given as handouts during the previous open house. In addition consistently observing children would help to design a more effective classroom environment and also the pattern of teaching. In case a child needs help in any area only documented evidence will help the teacher to identify the problem with better clarity and use appropriate intervention methods. Apart from teachers school directors as well as family members would also be able to understand the child better in case of such evidences. These assessments should continue even after the introduction of a program as only then the strengths and weaknesses of the program will be identified. In the present study when a particular sample of work from the child could not be obtained the child was observed while performing a task of its interest or during group activi ties to gather the required information. Such observations also helped in understanding when a child required individual attention or guidance. The artworks of children who painted or drew pictures were also included in the portfolio. Through this the children felt that their efforts were valued.