IFRS Measurement requirements

The Standards in International Financial Reporting Standards (IFRS) are one collection of financial reporting practices. They keep important because of the growing number of companies around the world (especially listed companies) that are required to comply with them, and the growing number of countries, that continue to model their own more general financial reporting requirements on them.… Continue reading

Assessing information quality for measurement

The Conceptual Framework provides the foundation for Standards and Accounting Guidelines that:

  1. contribute to transparency by enhancing the comparability and quality of financial information, enabling investors and other market participants to make informed economic decisions.
  2. strengthen accountability by reducing the information gap between the providers of capital and the people to whom they have entrusted their money. Standards and Accounting Guidelines based on the Conceptual Framework provide information needed to hold management to account. As a source of comparable information,
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Recognition of Assets, Liabilities, Income and Expenses

In short an overview

Recognition is the process of incorporating in the financial statements an item that meets the definition of an asset, liability, income or expense and satisfies the following criteria:

  1. it is probable that any future economic benefit associated with the item will flow to or from the entity, and
  2. the item has a cost or value that can be measured reliably.
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The Objective of General Purpose Financial Reporting

The Objective of General Purpose Financial Reporting is the basis of the Conceptual Framework.

In addition the 2018 revised Conceptual Framework sets out:

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