- Transparency – full disclosure and fair presentation
- Comprehensiveness – encompass the full spectrum of transactions that have financial consequences.
- Consistency – similar accounting across companies, geographic areas, and time periods for similar transaction
Barriers to create a coherent financial reporting framework
- Effective standards can have conflicting approaches on valuation, the bases for standard setting, and resolution of conflicts between balance sheet and income statement focus.
Barriers to developing one universally accepted set of financial reporting standards
- Different standard-setting bodies and regulatory authorities have different opinion
Political pressures faced by regualatory bodies from business groups and others
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