(International Financial Reporting Standard) IFRS 

A set of accounting rules and standards that is recognized worldwide. 

How does it differentiate from GAAP?

GAAP stands for Generally Accepted Accounting Principles, the generally accepted standards for financial reporting in the United States. IFRS  is a set of internationally accepted accounting standards used by most of the world’s countries.

IFRS Diploma Holder – An ACCA qualification 

If you work in finance but know little about International Financial Reporting Standards (IFRS), this qualification offers a quick and effective learning method.  The DipIFR can help you gain the knowledge you need to work in this area. Companies worldwide have to prepare consolidated company accounts that comply with IFRS. It also affects associates and subsidiaries listed companies outside their countries. 

“Other locations such as Australia, Hong Kong, and South Africa have already adopted IFRS or equivalents as their local Generally Accepted Accounting Principles (GAAP). And many other countries worldwide, including India, are moving towards applying IFRS, which significantly impacts financial reporting.”

Source: www.accaglobal.com

The syllabus

The diploma program teaches about global financial reporting. It also includes learning to apply international financial reporting standards for the first time.

The following are key topic areas of the diploma:

• International sources of authority 
• Elements of financial statements 
• Presentation of financial statements and additional disclosures 
• Preparation of external financial reports for combined entities, associates, and joint arrangements.

The exam

A single written exam assesses the DipIFR. This is held twice yearly at ACCA’s exam centers in June and December.

The pass mark is 50%. The exam lasts 3 hours 15 minutes and comprises four 25-mark compulsory questions requiring numerical and narrative answers.

Course Goals:

This course aims to teach you about International Financial Reporting Standards (IFRS), including how to use them and the basic concepts behind them.

After finishing the course, you should be able to:

Understand and use the IASB’s guidelines for financial reporting. Use the right financial reporting standards for essential parts of financial statements. Know and use the rules for what companies must show in their financial statements and notes. Make financial statements for groups of companies, including those with subsidiaries, partners, and joint ventures, except for the cash flow statements of the group.

Source: www.accaglobal.com

Courtesy: Dilpreet Kaur. CGMA.CPA Au