International Accounting Standards

International Accounting Standards

  • IAS 1: Presentation of financial statements – Provides guidance on the form and content of published financial statements.
  • IAS 2: Inventory – Apply the valuation method most appropriate to the way the inventory is used andrequires the same cost formula for all inventories having similar nature and use.
  • IAS 7: Statement of cash flows – Aims to make users aware of the business ability to generate cash/ cash equivalents and indicates the cash required. Mainly focuses on the cash flow statement.
  • IAS 8 : Accounting policies, changes in accounting estimates & errors– Deals with the treatment of accounting estimates, changes in accounting policy and errors.
  • IAS 10: Events after reporting period – Requires financial statements to reflect the conditions that existed at the balance sheet date.
  • IAS 11: Construction Contracts – Helps accountants working in construction companies to identify what to include as income and expenditure in financial statements.
  • IAS 12: Income taxes – Describes the accounting treatment for income taxes, which include domestic/foreign taxes based on taxable profits.
  • IAS 14: Segment Reporting – Requires reporting of financial information by business or geographic area.
  • IAS 15: Information Reflecting the effects of changing prices – Encourages companies to disclose financial statements which reflect the effects of price changes when determining results and operations.  Note that this is not  mandatory.
  • IAS 16: Property, plant and equipment  Covers all aspects of accounting for property, plant and equipment.
  • IAS 17: Leases – States that although an asset item legally still be owned by the person providing the lease, the person leasing the item has to state the item as a asset in the statement of financial position.
  • IAS 18: Revenue – Outlines the accounting treatment for sale of goods, rendering of services, and for interest, royalties and dividends.
  • IAS 19: Employee Benefits – Outlines the accounting requirements for employee benefits such as wages, salaries etc.
  • IAS 20: Accounting for Government Grants and disclosure of Government Assistance – Outlines how accounting for government grants and other assistance should be treated.
  • IAS 21: The effects of changes in foreign  exchange rates – Outlines how to account for foreign currency transactions, operations in financial statements and how to translate financial statements into a presentation currency.
  • IAS 22: Business Combinations – Outlines the accounting treatments for acquisitions and unit of interests.
  • IAS 23: Borrowing Cost – Outlines the accounting treatment for borrowing cost such as bank overdrafts etc.
  • IAS 24: Related party disclosures – Outlines the required disclosure about transactions  and outstanding balances with a business’s related parties.
  • IAS 27: Consolidated and Separate Financial Statements-Outlines the accounting treatment for changes in ownership interests.
  • IAS 28: Investments in Associates  Outlines the accounting treatment for investments in associates.
  • IAS 36: Impairment of assets – This standard applies to rules for both tangible, intangible assets and financial assets except inventories, assets arising from construction, deferred tax assets and assets arising under IAS 19.
  • IAS 37: provisions, contingent liabilities and contingent assets – Ensures that items are recognised and measured appropriately and that enough information is disclosed in the notes of financial statements for the purpose of user’s usefulness.
  • IAS 38: Intangible Assets – Outlines the accounting requirements for intangible assets.

For a more detailed explanation of each accounting standards click here