Accounting and Auditing Research and Databases: Practitioner's Desk Reference

Summary

This chapter has presented an overview of the bodies that set standards in international accounting, the process of standard setting, the types of authoritative pronouncements, the meaning and hierarchy of IFRS, and the IFRS research process. Because the IFRS Foundation's objectives include promoting a single set of high-quality standards and promoting convergence, IFRS is continuing to evolve. The research process may involve judgment because IFRS employs a more principle-based approach than, for instance, U.S. GAAP. Additionally, although all IFRSs are equal, the researcher must follow a hierarchy when a specific IFRS does not address the research question. If the researcher is familiar with the research topic, the most expedient way to find a solution may be to examine the list of published IFRSs. For a comprehensive list of literature referencing a term or topic, the researcher wants to use a keyword search utilizing the term highlight option. The IASB is working independently and on joint projects with various international standard-setting bodies. Therefore, accountants must research changes in pronouncements to keep abreast of current applications of principles.

Notes

1. Modified and updated “IASB and the IASC Foundation: Who Are We and What Do We Do?” (www.iasb.org), and “International Financial Reporting Standards (IFRS): An AICPA Backgrounder” (www.IFRS.org).

2. Adapted from “International Financial Reporting Standards (IFRS): An AICPA Backgrounder” (www.IFRS.com ...