NAME: SHEYLA BARRAZA ARBOLEDA

HOW ARE THE GAAP AND IASB REGULATIONS USED IN COLOMBIA? GIVE

EXAMPLES.

The US GAAP (Generally Accepted Accounting Principles) are generally

accepted accounting principles, used by companies in the United States or listed
on Wall Street. They cover a massive volume of standards, interpretations,
opinions and bulletins and are prepared by the FASB (Directory of Financial
Accounting Standards or Financial Accounting Standards Board), by the
accounting union (the American Institute of Certified Public Accountants (AICPA)
and the Securities and Exchange Commission (SEC).

It is a combination of standards authorized by regulatory organizations and

accepted ways of keeping accounts. There are many similarities between the
United States GAAP (US GAAP) and IFRS regarding the presentation of the
financial statement. For example, according to both frameworks, the components
of a complete series of financial statements include: balance sheet, income
statement, other general revenue base (OCI) for US GAAP or the statement of
recognized income and expenses (SORIE) for IFRS. In addition, the two
frameworks require, except in exceptional circumstances, that the financial
statements are prepared according to the accounting basis of causation (with the
exception of the statement of cash flows). The two GAAPs have similar concepts
regarding the materiality and consistency requirements that entities should
consider when preparing their financial statements.

The International Accounting Standards Board (IASB) is an independent

private sector body that develops and approves International Financial Reporting
Standards.

This entity operates under the supervision of the IFRS Foundation and was
established in 2001 to replace the International Accounting Standards Committee –
IASC– (International Accounting Standards Committee).
Colombia and its presence in the IASB

Daniel Sarmiento Pavas, counselor of the CTCP, participated in a meeting of the

IASB in September of this year, held in London, together with representatives of
issuers from more than 50 countries. In development of the different activities
programmed by the World Standard Setters, which has the presence of the IASB,
the advisor of the Technical Council of Public Accounting participated in a meeting
with the president of said entity, Hans Hoogervorst.

“Sarmiento Pavas participated in the discussions in which transcendental issues

were addressed for the future of international regulation on financial information”
The event was attended by representatives of issuers from more than 50 countries.
On behalf of Latin America, representatives from Mexico, Brazil, Argentina and
Colombia were present. Sarmiento Pavas participated in the discussions in which
transcendental issues were addressed for the future of international regulation on
financial information. "