Lobbying and the International Accounting Standards Committee

Systems theory and agency theory were employed as the theoretical bases for a study of lobbying and the International Accounting Standards Committee (IASC) during the years of the Core Standards Programme, 1993-98. External parties made use of formal and informal channels to lobby the IASC. The IASC itself lobbied external parties in efforts to gain support for its activities and proposed standards. Thus, lobbying was multidirectional. The IASC has collaborated with both international and national organisations, such as the International Organisation of Securities Commissions (IOSCO), the Accounting Standards Board (ASB), the Canadian Institute of Chartered Accountants (CICA), and the Financial Accounting Standards Board (FASB), in the development of international accounting standards that can be utilised in cross-border offerings and listings of securities. Thus, a principal / agent model appears too simplistic. Rather, a mutual agency model of collaborative behavior and action appears appropriate

IFRS Sustainability Requires Further Governance Reform

This Policy Contribution reproduces the text of a letter sent by Senior Fellow Nicolas Véron to Gerrit Zalm, the Chairman of the International Accounting Standards Committee Foundation (IASCF) in response to the Foundation's public consultation on Part 2 of its Constitution Review. Véron writes that a broader strategic readjustment on the part of the IASCF is necessary if the Foundation hopes to regain the support of the global investment community, its most crucial group of stakeholders. The Foundation must make itself more responsive and accountable to the investment community, a requirement that has become more urgent due to the crisis.

International Accounting Normalization and Harmonization Processes across the World: History and Overview

Based on a literature review, the paper traces the history of the International Accounting normalization, and presents an overview of the harmonization process across different regions of the world. In a first part we present the circumstances that led to the genesis of the International Accounting Standards Committee (IASC) in 1973, by returning to the evolution of its notoriety, and to the production of its first international accounting standards (IAS). After discussing the replacement of the IASC in 2001 by the International Accounting Standards Committee Foundation (IASCF) and the International Accounting standards Board (IASB), we give details on how the international standards were henceforth called International Financial Reporting Standards (IFRS), due to their new dominating financial aspect. In the second part of the paper, we discuss the existing differences between developed and developing countries regarding the international accounting harmonization process. After discussing the limits and the advantages of the international accounting harmonization, we raise the issue of financial security in relation to the process of international accounting harmonization

The High Road

Discusses the obstacles to international accounting standards convergence. Effort of the International Accounting Standards Committee (IASC) to promote to convergence theme; Comparison between the convergence frameworks of the U.S. Securities and Exchange Commission and the Financial Accounting Standards Board; Sections of the \u27Framework for the Preparation and Presentation of Financial Statements\u27 document issued by the IASC

IAS 23 Borrowing Costs - A Closer Look

The International Accounting Standards Committee issued the the International Accounting Standard 23, Borrowing Costs. The objective of IAS 23 is to prescribe the accounting treatment for borrowing costs. This standard requires the capitalisation of all borrowing costs that are directly attributable to the acquisition, construction or production of a qualifying asset. IAS 23 requires all borrowing costs capitalised as part of the cost of the asset, where the borrowing costs are directly attributable to the acquisition, construction or production of a qualifying asset. This article presents a closer look of the standard (objective, scope, definitions, capitalisation and disclosures).International Accounting Standard; Borrowing Costs; Qualifying Assets; IAS 23; IASC; IASB; FASB

Inflation adjustments of financial statements : application of international accounting standard 29 : financial reporting in hyperinflationary economies

The Bank's draft Operational Directive on Financial Sector Operations requires the adjustment of financial statements in countries where the cumulative inflation rate over three years approaches or exceeds 100 percent. Financial statements in those countries are to follow the accounting principles in International Accounting Standard 29 (IAS 29) of the International Accounting Standards Committee. IAS 29 provides a list of principles and requirements but does not outline the procedures for measuring income. Nor does it provide a numerical example. This paper provides a framework for applying IAS 29 to adjust financial statements accompanied by numerical examples and thus may be considered an extension of the standard.Economic Theory&Research,Banks&Banking Reform,Environmental Economics&Policies,International Terrorism&Counterterrorism,Insurance Law

IAS 20 Accounting for Government Grants and Disclosure of Government Assistance - A Closer Look

The International Accounting Standards Committee issued the the International Accounting Standard 20, Accounting for Government Grants and Disclosure of Government Assistance. The objective of IAS 20 is to prescribe the accounting treatment for, and disclosure of, government grants and other forms of government assistance. Government assistance takes many forms varying both in the nature of the assistance given and in the conditions which are usually attached to it. The purpose of the assistance may be to encourage an entity to embark on a course of action which it would not normally have taken if the assistance was not provided. This article presents a closer look of standard (objective, scope, definitions, recognition, presentation and disclosures).International Accounting Standard; Government Grants; Government Assistance; Fair Value; IAS 20; IASC; IASB

Evolution of the relationship between the U.S. financial accounting standards and the international accounting standard setters: 1973-2008

Utilizing archival materials as well as personal interviews and correspondence with personnel of the Financial Accounting Standards Board (FASB) and International Accounting Standards Committee /Board (IASC/B), including former Board chairmen and staff members, this paper examines the development of the working relationships between the FASB and the IASC/B from their earliest interactions in 1973 through the transformation of the IASC into the IASB and the Convergence Program rooted in the 2002 Norwalk Agreement up to 2008

Global Auditing and Accounting Confusion

The article discusses about the accounting and audit standards in the United States, which is different from one country to another due to business practices, fiscal systems and the law regulating a company. The International Federation of Accountants and the International Accounting Standards Committee aimed to a have a consistency of audit and accounting standards around the world, although these diversities can easily identify a company\u27s national origin and as a basis of the financial statements presentation