The Accounting Principles Board (APB) was a board of the American Institute of Certified Public Accountants (AICPA) that issued a series of accountant's opinions constituting much of what is known as Generally Accepted Accounting Principles (GAAP) from 1959 to 1973.
The accruals concept is a fundamental accounting principle that requires revenue and costs to be recognized as they are earned or incurred, rather than when money is received or paid. This concept ensures that income and expenses are matched with one another in the correct accounting period.
The Accounting Standards Committee (ASC) is a significant entity responsible for establishing and maintaining accounting standards to ensure consistency, transparency, and reliability in financial reporting.
The accounting principle that financial information for a company should be comparable with financial information for other similar companies, ensuring that stakeholders can make well-informed decisions.
Consolidated financial statements combine the financial records of a group of companies, providing a comprehensive view of the entire group's financial situation.
A comprehensive exploration of Earnings Per Share (EPS), detailing its calculation, significance, and application under International Accounting Standards.
The European Financial Reporting Advisory Group (EFRAG) was established in 2001 to advise the European Commission on the use of International Accounting Standards (IAS) and International Financial Reporting Standards (IFRS) within the EU. It coordinates the views of preparers and users of financial statements as well as accounting professionals and represents these to both the Commission and the International Accounting Standards Board (IASB).
The requirement that financial statements should not be misleading. 'Fair presentation' ensures that financial reports provide a true and fair view of the company's financial position in accordance with accounting standards.
Fully Diluted Earnings Per Share (EPS) for a company that takes into account not only the number of shares in issue but also those that may be issued as a result of such factors as convertible loans, options, or warrants. International Accounting Standard 33 requires that diluted earnings per share be disclosed on the face of the profit and loss account as well as basic earnings per share. The US equivalent is primary earnings per share.
Harmonization involves aligning accounting standards and practices to achieve consistent and comparable financial reporting globally.
The IASC Foundation, now known as the IFRS Foundation, was established to oversee and develop a globally accepted set of accounting standards known as International Financial Reporting Standards (IFRS).
The income statement, also known as a profit and loss account, is a financial document that provides a summary of a company's revenues, expenses, and profits/losses over a specific period. Under both International Accounting Standards (IAS) and the Financial Reporting Standard Applicable in the UK and Republic of Ireland (FRS 102), the income statement plays a pivotal role in financial reporting.
Interim financial statements are financial reports issued for periods shorter than a full fiscal year, often used by companies to report on financial health and performance at interim intervals.
The International Accounting Standards Committee (IASC) was established in 1973 to set global accounting standards and was later superseded by the International Accounting Standards Board (IASB) in 2001.
The International Accounting Standards Committee Foundation (IASCF) was an independent, private-sector organization responsible for developing a single set of high-quality, understandable, and enforceable international financial reporting standards through its standard-setting body, the International Accounting Standards Board (IASB).
The International Financial Reporting Interpretations Committee (IFRIC) assists the International Accounting Standards Board (IASB) by providing guidance on the application and interpretation of International Financial Reporting Standards (IFRS).
Established in 1983, the International Organization for Securities Commissions (IOSCO) is an influential body dedicated to setting international standards for the regulation of global securities and futures markets. Based in Madrid, IOSCO promotes the adoption of internationally-agreed accounting standards, facilitating multinational share offerings.
The International Valuation Standards Council (IVSC) is an independent not-for-profit organization dedicated to the development of international standards for the valuation of assets, including both tangible and intangible assets.
A financial statement showing the extent to which shareholders' equity has increased or decreased from all the gains and losses recognized during a specific period, excluding transactions with shareholders.
Understandability is a core principle in financial reporting which ensures that financial information provided by a company can be comprehended by individuals with a reasonable knowledge of business and accounting.
