preview

Current Financial Reporting Standards On The Workplace Essay

Better Essays
Current Financial Reporting Issues It is incontestable that international financial reporting standards (IFRS) are in vogue and global conformity theoretically on the doorstep as about 100 countries implement standard financial regulations. The idea that uniform reporting standards have the same effect on financial reporting undervalues the contested ability to be flexible in financial reporting and introduces another level of debate on the issue of flexibility and uniformity. Apart from the fact that the merits of flexibility are downplayed to increase cross-sectional and inter-temporal comparison, prescribed reporting standards compliance is itself not enough basis to claim that financial reporting. The IFRS comprises of principle-based standards that have presents financial report manager with the opportunity to increase flexibility on their part and possible manipulation (Benston, 2006). Consequently, the fact brings another issue into question, for instance, the reliability and transparency of information produced under professional discretion and judgment of managers. This paper seeks to indicate that there are too many current financial reporting issues that are not yet conclusively included in the crusade for the adoption of uniform financial reporting standards on the notion that uniform standards improve the quality of financial reporting regarding comparability. Accounting regulation has an apparent importance in accounting for the good of the public. The
Get Access