Critical appraisal of the International Accounting Standard
The utilization and application of the guidelines established under International Accounting Standards (IAS) is geared towards the process of evaluating the factors under the category of accounting amounts, as a means to identify whether the process of reporting under IAS can be attributed to an accounting quality that is above par, while investing a lower expense in terms of capital.
The objective of this study is to focus on the fair value accounting of IAS 40 on decision usefulness, concerning the aspects of value relevance and information asymmetry. The researcher aims to do a comparison between a firm that makes use of IAS 40 and one that doesn't, focusing on the factor of Fair Value Accounting within the context of Investment Property.
The comparison focusing on the latter group is a means to identify whether there would be an increase in the degree of accounting quality that a firm has after utilizing and applying IAS 40 in their policies and processes. In that light, the researcher aims to determine the prospect of improvement of a firm's accounting quality and financial reporting with the use of International Accounting Standards on Investment Property.
One of the key objectives of the International Accounting Standards Board (IASB) is to formulate a singular guideline that would establish accounting standards of high quality that must be comprehensible, as well as practical and practicable for the sake of public interest. ...