Report on the Observance of Standards and Codes, Accounting and Auditing : Module A - Accounting and Auditing Standards, A.1 Financial Reporting Standards Analysis
The quality of financial reporting depends to a great extent on the quality of the Accounting and Auditing (A&A) standards on which the reporting is based. Accounting standards are seen as a critical language of business. In countries seeking t...
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| Format: | Report |
| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2017
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| Online Access: | http://documents.worldbank.org/curated/en/163251487919599733/Report-on-the-Observance-of-Standards-and-Codes-ROSC-Accounting-and-Auditing-A-A-module-A-A-A-standards-A-1-financial-reporting-standards-analysis http://hdl.handle.net/10986/26221 |
| Summary: | The quality of financial reporting
depends to a great extent on the quality of the Accounting
and Auditing (A&A) standards on which the reporting is
based. Accounting standards are seen as a critical language
of business. In countries seeking to improve their business
environment to attract foreign direct investment and
mobilize savings and finance to support productive and
job-creating activities, if national accounting standards
differ significantly from the increasingly universal
international benchmark, International Financial Reporting
Standards (IFRS), it becomes difficult for foreign investors
to understand the financial reports of domestic companies,
thus potentially hampering investment and growth. The
objective of the financial reporting standards analysis is
to compare national financial reporting standards (or
generally accepted accounting principles - national (GAAP)
with IFRS with a view to capturing significant differences
(where applicable) in order to provide: (a) readers with a
clear sense of where key areas of divergence lie, and (b)
country counterparts with concrete suggestions for improving
national GAAP and aligning them to the extent possible with IFRS. |
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