Unified Financial Accounting Standards

Unified Financial Accounting Standards Essay example
Masters
Essay
Finance & Accounting
Pages 5 (1255 words)
Download 0
Unified Financial Accounting Standards
It is arguably true that the modern business world experience numerous business operations and relevant assessment measures that determine the success of such operations in the competitive world…

Introduction

Unified Financial Accounting Standards

Indeed, since the modern business takes place in a global market, there is absolute need to define how to do business across all nations (Ingram, & Albright, 2007). As such, various organizations seek to establish different business and financial measures to define the universal manner of doing global business. Financial accounting standards are some of the measures, which all companies must comply with while doing business, assessing their progress, and reporting their success. Financial accounting standards seek to establish fairness, equality, uniformity, accuracy, and transparency in the preparation and presentation of financial statements. As such, financial accounting standards must be clearly understandable and comparable so that the users can apply them effectively. The accounting profession adopted the generally accepted accounting principles, which defines universal reporting principle in the global market (Ingram, & Albright, 2007). Financial accounting standards derive many merits in the business field and various users rely on financial accounting standards to perfume their business and accounting responsibilities. The users may include investors, companies, and auditors. This paper defines the characteristics of the unified financial accounting standards and discusses the benefits of unified financial accounting standards to investors, companies, and auditors with reference to preparing, reporting, and comparing the financial performance in the modern global market.
The unified financial accounting standards have certain characteristics, which guarantee accurate and material communication of the business firm’s financial position and performance. ...
Download paper
Not exactly what you need?

Related papers

Tax Avoidance OR International Accounting Standards
Thus, they maintain a liberal tax system for businesses and maintain a more stricter tax system for individuals. Due to this, most businesses have many options of manipulating tax law to their favour in order to pay less taxes. In principle, taxes are paid to promote social justice and assist the government and corporate sector to meet its objectives and needs. If an individual or business entity…
International Financial Accounting and Theory
The development of corporate governance in the UK since 1991 up to 2011 is assessed in this paper with a discussion on the various reports which are involved in the changes in the governance of companies in the UK. There were many corporate governance failures within UK companies such as Maxwell communications in the mid and late 1980s which included risky acquisitions, large debts and missing…
Accounting is not a root cause of the financial crisis, but it has an important role to play in its resolution.
The United States of America was the epicenter of this crisis. The sub-prime crisis caused many key businesses to close down and equity markets all around the world recorded tremendous decrease of their respective indices. This financial crisis almost created mass scale unemployment around the world. It is very interesting to study the role of financial accounting in this crisis. Many experts have…
International Financial Reporting Standards
The IASB is responsible for oversight of the IFRS. This agency was formed in 1973 under its former name International Accounting Standards (IAS). The IFRS were created in 2001 (Articlebase, 2008). The first nation to adopt the IFRS framework was the European Union. The countries of Europe adopted IFRS in 2005 (Moya, Perrramon, Constans, 2005). The biggest stock exchange in the European nation is…
Universal Accounting Approach &Cross Border Investment
Without these accounting standards each and every business entity would have to develop their own accounting standards that would make the comparison of financial information of different business enterprises difficult. The interests of the financial activities of the individual and institutional investors have become global recognizable and there has been active involvement of various…
MANAGEMENT ACCOUNTING AND FINANCIAL MANAGEMENT
Vodafone Company is a British multinational company that deals with telecommunication services. It holds the second position mobile telecommunication company worldwide. The company owns and operates in more than 30 countries. Evolution of Vodafone brand started in 1982 after the establishment of Racal electronics plc when Jan Stenbeck spearheaded the joint venture between Millicom and Racal…