Module Module Content Module Wise
Duration (Hours)
Introduction to Accounting Principles and concepts, Introduction to GAAP, IndAS
I 5
Introduction to IFRS – Need for IFRS, Benefits of IFRS.
Capital & Revenue -Expenditure, Receipts, Gains, Loss, AS9 i.e. IND AS18(concepts-
II 3
overview)
Preparation of Journal, Ledger, Trial Balance- doing journal entries, ledger posting, making
III 12
trial balance.
Depreciation- theory, amortization, Provision for depreciation, SLM, WDV and Change of
IV Method. Impairment of assets. 10
AS 6 and AS10, Ind AS 16
T-form of final accounts- basics for Proprietorship Concerns and few sums based on
V adjustments, Preparation of Final Accounts as per Schedule III of the Companies 22
(Amendment) Act, 2013.
Departmental Accounts – Preparation of departmental Final Accounts, Allocation and
VI 8
Apportionment, Inter departmental transfers and unrealized profits in stocks.
What is IFRS?
The International Financial Reporting Standards (IFRS) are accounting
standards that are issued by the International Accounting Standards
Board (IASB) with the objective of providing a common accounting
language to increase transparency in the presentation of financial
information.
Objectives of IFRS
Reliability
Relevance
Conceptual framework
Compatibility
Timeliness
Better access to foreign capital in terms of investment
Standardization of accounting and financial reporting
Identifying the opportunity and threats
Flexibility
Benefits
Helpful to enterprises operating globally
Helpful to investors
Helpful to industry
Helpful to accounting professionals
Advantages of Adopting IFRS
1. It would create a single set of accounting standards around the
world
2. It would reduce the time, effort, and expense of preparing multiple
reports
3. It would make it easier to monitor and control subsidiaries from
foreign countries
4. It would follow the same process that many American agencies
already follow
5. It would offer more flexibility in the accounting practices
Advantages of Adopting IFRS
6. It would make it easier for all companies to do business in foreign
countries
7. It would help to streamline the system by creating one centralized
authoritative body.
8. It would create a higher return on equity.
9. It would improve the rates of foreign direct investment around the
world.
10. It would be helpful to newer investors and smaller investments.
Disadvantages of Adopting IFRS
1. It would increase the cost of implementation for small
businesses.
2. It would lead to concerns with standards manipulation.
3. It would require global consistency in auditing and
enforcement.
4. It would increase the amount of work placed on accountants
5. It would require changes at the educational level as well.
6. It would still require global acceptance to be useful.
Why IFRS in India?
Improve Transparency in an accounting system
Globally Accepted
New Opportunity
Allows exercise of professional judgment
IFRS are increasingly being recognized as Global Reporting
Standards for financial statements.
Indian AS is becoming rare because it has some
limitations if we compare with IFRS.
As global capital markets become increasingly
integrated, many countries are adopting IFRS
More than a hundred countries already permit the use of IFRS
in their countries.
List of IFRS
First-time Adoption of International Financial Reporting
IFRS 1
Standards
IFRS 2 Share-based Payment
IFRS 3 Business Combinations
IFRS 4 Insurance Contracts
Non-current Assets Held for Sale and Discontinued
IFRS 5
Operations
IFRS 7 Financial Instruments: Disclosures
IFRS 8 Operating Segments
IFRS 9 Financial Instruments
IFRS 10 Consolidated Financial Statements
IFRS 11 Joint Arrangements
IFRS 13 Fair Value Measurement
IFRS 14 Regulatory Deferral Accounts
IFRS 15 Revenue from Contracts with Customers
IFRS 16 Leases
IFRS includes or covers a broad list of topics
Presentation of Financial Intangible assets
statements
Leases
Employee benefits
Retirement benefits plan
Revenue recognition
Foreign exchange rate
Income taxes
Business combinations
Borrowing cost
Operated segment
Investment in associates
An industry like mineral
Inventories resources and agriculture use
Fixed assets for specific accounting.