Facebook Pixel Code
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Essay on Conceptual Frame work

This is a preview of the 8-page document
Read full text

To accounting on those topics that are not well captured on the IFRSs on when it comes to changing or selecting policies on accounting whereby the choice towards those policies is made by the IFRSs. Any revision appropriately made on those policies need to be identified and understood by the entity that has selected and developed that accounting policy on the basis of the current framework. For a revision to be made on the conceptual framework, then it has to undergo a proposed transition period of approximately 18 months. Several factors have to be made during the revision to avoid framework conflicts with a specific IFRS, which result to the application of IFRS requirements.

The proposed revised framework becomes a conflict or inconsistent with existing IFRSs in two ways; One is when liabilities and equity definitions are not consistent with the classifying instruments of finance as equity and liabilities approach under the IAS 32. The second is the proposed revision liabilities guidance being not consistent with the levies accounting under IFRIC 21.The IASB needs a revision on its original framework and in 2004, with FASB they started a joint project to develop a joint project resulting to a common framework.

This was discontinued on 2010 to pay attention to other projects that were more demanding and the IASB initiated an IASB-only project to revise the framework on 2012. The IASB published a discussion paper on 2013 that showed its preliminary views on the range of accounting topics that involved liability and asset determination as well as differentiating between equity and liabilities. The IASB has proposed revisions on May 2015 to its conceptual framework through the release of its ED (exposure draft) that calls for revisions on the conceptual framework for financial reporting.

This is made to ensure clarification, update, and filling the gaps that are existing on the existing IASB framework. The revision is made to address a fundamental range of accounting topics, and the revisions are expected to be complete in 2016 (Cohn, 2012). The discussion paper arises from the research program of the IASB due to the requirements implementation process of the revision of the framework. It covers the analysis of the possible reporting problems on the finance through a collection of evidence based on the extent and the nature problems by collecting evidence on the nature of the perceived drawbacks and including potential solutions to remedy and improve

This is a preview of the 8-page document
Open full text
Close ✕
Tracy Smith Editor&Proofreader
Expert in: Finance & Accounting, Human Resources, E-Commerce
Hire an Editor
Matt Hamilton Writer
Expert in: Finance & Accounting, Marketing, Business
Hire a Writer
preview essay on Essay on Conceptual Frame work
WE CAN HELP TO FIND AN ESSAYDidn't find an essay?

Please type your essay title, choose your document type, enter your email and we send you essay samples

Contact Us