International Accounting Standards (IAS) Presentation of Financial Statements

The International Accounting Standards Committee (IASC) released International Accounting Standard 1 (IAS 1) to address the topic of the presentation of financial statements.

Financial statements prepared on international standards have a specific format in which they must follow so that the users of them may be able to easily understand and compare them. This IAS discusses what each financial statement is, what is included in it, as well as specific rules as to what may and may not be done within them. This is important so that shareholders may be able to read varying financial statements and have one uniform standard for how to interpret the data.

IAS are principles based standards, rather than strict rules based standards that govern international accounting. IAS standards differ from IFRS standards in that they were introduced prior to 2001, whereas IFRS were produced after this date by the IASB, or the International Accounting Standards Board. When determining the hierarchy of these, the IAS is considered to be the building blocks in which newer and more relevant IFRS are founded and therefore IFRS is more authoritative when these conflict.

Accounting made easy, for FREE!

Access the contact form and send us your feedback, questions, etc. We are always welcome to help someone out. You can also contact us if you wish to submit your writing, cartoons, jokes, etc. and we will consider posting them to share with the world! The Facebook and LinkedIn groups are also good areas to find people interested in accounting like yourself, don’t hesitate to join as everyone of all levels are welcome to become part of the community.

Are You Ready to Take Your Accounting Skills to the Next Level on the Information Highway?

How Can We Help?