What is IFRS? Video Lecture | Accountancy Class 11 - Commerce

International Financial Reporting
Standards or IFRS for short are a set of
global accounting standards developed by
the International Accounting Standards
Board is a B for the preparation of
financial statements and other financial
reporting companies in over a hundred
countries around the world use IFRS and
with many more countries in the process
of transition these are fast becoming
the global accounting language IFRS can
help to increase the quality
comparability and transparency of
financial information this in turn helps
facilitate business as it increases
credibility and improves access to
credit and investment opportunities for
companies with operations in multiple
jurisdictions the adoption of a single
framework also simplifies the financial
reporting process considerably many
consultants and IFRS experts will tell
you that the ducting IFRS is a huge task
involving enterprise wide transformation
we prefer to start with a more
reassuring message many thousands of
companies all around the world have
successfully adopted IFRS these
companies had different starting points
and took different approaches but pretty
much all of them were able to get the
job done so while this can be a
substantial task it shouldn't be
overestimate and it is achievable
conversion starts well before the first
reporting date under IFRS for example if
a company is required to present
financial statements under IFRS as at
31st of December 2015 its IFRS
transition is two years earlier 1st of
January 2014 at that earlier date the
company produces an IFRS opening balance
which becomes the foundation for
building the first IFRS financial
statements two years later many
companies
IFRS as something that only affects a
company's financial processes and
accounting policies but conversion
actually has implications across the
whole organization this is sometimes
described as the IFRS iceberg as most of
the implications are more hidden for
example the effects on IT systems legal
considerations such as debt covenants
training needs human resource
requirements and so on this is why
project management is one of the most
critical components of a successful
adoption of IFRS working with an expert
to develop a structured multi-step plan
will help to ensure a measured
controlled transition with milestones
customized to your timelines Grant
Thornton member firms are committed to
high-quality
consistent application of IFRS and
helping our clients in the IFRS adoption
process and in subsequent compliance and
reporting the focus of our methodology
is a carefully structured project plan
that we have developed and executed in
numerous projects across the world our
specialists understand anticipate and
tailor solutions to the particular
challenges presented by each client's
adoption process we will work with you
to develop and execute a successful
conversion plan and transfer knowledge
that can empower your team to become
proficient in IFRS reporting our
investment in IFRS expertise includes a
global IFRS team supported and advised
by specialists from our member firms
worldwide including an IFRS
interpretations group and a financial
instruments working group the global
IFRS team provides support and training
programs it operates an IFRS help desk
service and publishes extensive
technical and turbit of guidance
newsletters and other tools and
resources Grant Thornton also
contributes actively to the development
of IFRS in
loading the submission of global comic
letters on proposals for new and amended
standards and participation in
roundtables and advisory groups we
believe the move to global Accounting
Standards is a very positive step for
companies investors and even auditors
the process is certainly challenging but
it is also achievable contact us to find
out how grant thornton can help