Special Question - Solution - Special Question: After...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Special Question: After reading the article by Chand & Cummings (2008), discuss the following issues: 1. Costs of adopting International Financial Reporting Standards [IFRS] The costs are argued to be significant and have exceeded what was initially anticipated by adopting countries. In Australia there are reports that it is too costly to prepare financial reports under IFRS. This is especially the case for small and medium sized enterprises (SME) and not-for-profit (NFP) organisations. The time it takes to prepare reports and the complexity of interpreting the standards is a cost, as well as the obvious dollars spent implementing these into systems, etc. 2. Impacts of adopting IFRS on Australian financial statements Financial impacts are also felt by companies who have to remove particular items from their financial reports, or make changes to the way items are accounted for. For example, many companies are having to write-off/down their intangible assets under IFRS rules. The impact is to lower assets and equity. Other companies now have to
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 2

Special Question - Solution - Special Question: After...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online