☰ Login 

Search for Jobs... 

IFRS INTERVIEW QUESTIONS & ANSWERS

Are you a commerce graduate? Want to become a

accountant professional? Do have wide knowledge
in accounting section? Then check on to
www.wisdomjobs.com for better
prospects. International 9nancial reporting
standards are a set of international accounting
standards which provide a common global
language for business affairs in order to abtain
company accounts easily understandable and
comparable internationally. It guides the investors
to recognize the opportunities and risks globally.
As it has become mandatory in India, various
Enancial sectors and business sectors are looking
for well qualiEed candidates fresher’s or
experienced with handsome pay. So, candidates
who are willing to work as Enancial analyst, IFRS
specialist, system analyst, Enancial accounting
specialist, Enancial risk manager and many more
are offered with the IFRS job interview questions
and answers given below.

Communication Skills Interv…

YouTube 87K

IFRS Interview Questions And Answers

 Prev Next 

Question 1. What Is Ifrs?

Answer : International Financial Reporting

Standards (IFRS) are a set of accounting
standards developed by the International
Accounting Standards Board (IASB) that is
becoming the global standard for the
preparation of public company Enancial
statements.

Question 2. What Is The Iasb?

Answer : The IASB is an independent

accounting standard-setting body, based in
London. It consists of 15 members from
multiple countries, including the United States.
The IASB began operations in 2001 when it
succeeded the International Accounting
Standards Committee. It is funded by
contributions from major accounting Erms,
private Enancial institutions and industrial
companies, central and development banks,
national funding regimes, and other international
and professional organizations throughout the
world. While the AICPA was a founding member
of the International Accounting Standards
Committee, the IASB's predecessor
organization, it is not aYliated with the IASB.

Financial Reporting and Analysis

Interview Questions

Question 3. How Widespread Is The Adoption

Of Ifrs Around The World?

Answer : Approximately 120 nations and

reporting jurisdictions permit or require IFRS for
domestic listed companies, although
approximately 90 countries have fully
conformed with IFRS as promulgated by the
IASB and include a statement acknowledging
such conformity in audit reports.

All under one roof

We're Always Open to Talk to
Interested People and Would
Love to Here from You

Ad Rigid Industries Open

Question 4. What Is The Possibility Of The

Securities And Exchange Commission
Substituting Ifrs For Gaap?

Answer : For many years, the SEC has been

expressing its support for a core set of
accounting standards that could serve as a
framework for Enancial reporting in cross-border
offerings. On February 24, 2010, the SEC issued
release Nos. 33-9109 and 34-61578,
Commission Statement in Support of
Convergence and Global Accounting Standards.
In the release, the SEC stated its continued
belief that a single set of high-quality globally
accepted accounting standards would beneEt
U.S. investors and its continued encouragement
for the convergence of U.S. GAAP and IFRS. The
release also called for the development of a
work plan (the "Work Plan") to enhance both the
understanding of the SEC's purpose and public
transparency in this area. Execution of the Work
Plan, combined with the completion of
previously agreed upon convergence projects
between the FASB and IASB, will permit the SEC
to make a determination. On July 13, 2012 the
SEC staff issued the Final Staff Report on the
Work Plan for the Consideration of Incorporating
International Financial Reporting Standards into
the Financial Reporting System for U.S. Issuers.
The report did not recommend a speciEc course
of action. The Enal decision regarding whether
to incorporate IFRS into the Enancial reporting
system for U.S. issuers now rests with the SEC
Commissioners. There is currently no estimated
date for when such a decision might be made.

Financial Reporting and Analysis Tutorial

Question 5. What Are The Advantages Of

Converting To Ifrs?

Answer : By adopting IFRS, a business can

present its Enancial statements on the same
basis as its foreign competitors, making
comparisons easier. Furthermore, companies
with subsidiaries in countries that require or
permit IFRS may be able to use one accounting
language company-wide. Companies also may
need to convert to IFRS if they are a subsidiary
of a foreign company that must use IFRS, or if
they have a foreign investor that must use IFRS.
Companies may also beneEt by using IFRS if
they wish to raise capital abroad.

Accounts and Finance for Managers

Interview Questions

Question 6. Have Any Major U.s. Companies

Begun Transitioning To Ifrs?

Answer : Until the Securities and Exchange

Commission issues a rule allowing or requiring
U.S. public companies to adopt IFRS, they must
continue to prepare their Enancial statements
under U.S. GAAP. Several large multinational
corporations, however, have started using IFRS
for their foreign subsidiaries where allowed by
local law. Also, some U.S. subsidiaries of
foreign-owned companies are also using IFRS.

Question 7. When Comparing Ifrs And Gaap,

What Are Some Overall Key Differences I
Should Be Aware Of?

Answer : The biggest difference is that IFRS

provides fewer detailed rules than U.S. GAAP.
IFRS also contains limited industry-speciEc
guidance.

Accounts and Finance for Managers

Tutorial

Auditing Interview Questions

Question 8. What Are Examples Of Speci9c

Differences Between Ifrs And U.s. Gaap?

Answer : Because of longstanding

convergence projects between the IASB and the
FASB, the extent of the speciEc differences
between IFRS and GAAP has been shrinking. Yet
signiEcant differences do remain, most any one
of which can result in signiEcantly different
reported results, depending on a company's
industry and individual facts and circumstances.

For example:

IFRS does not permit Last In, First

Out (LIFO).
IFRS uses a single-step method for
impairment write-downs rather than
the two-step method used in U.S.
GAAP, making write-downs more
likely.
IFRS requires capitalization of
development costs once certain
qualifying criteria are met. U.S.
GAAP generally requires
development costs to be expensed
as incurred, except for costs related
to the development of computer
software, for which capitalization is
required once certain criteria are
met.

Question 9. Is The Possible Conversion To Ifrs

From U.s. Gaap Solely A Financial Reporting
Issue? 

Answer : Conversion to IFRS is much more

than an accounting exercise. It will affect many
aspects of a U.S. company's operations, from
information technology systems and tax
reporting requirements, to internal reporting and
key performance metrics and the tracking of
stock-based compensation.

Taxation Interview Questions

Question 10. What Other Areas Of The

Profession Will Ifrs Affect?

Answer : As IFRS grows in acceptance, most

CPAs, Enancial statement preparers and
auditors will have to become knowledgeable
about the international standards. Others, such
as actuaries and valuation experts who are
engaged by management to assist in measuring
certain assets and liabilities, are not currently
taught IFRS and will have to undertake
comprehensive training. Professional
associations and industry groups have begun to
integrate IFRS into their training materials,
publications, testing, and certiEcation programs,
and many colleges and universities are including
IFRS in their curricula. Some textbooks are
already covering IFRS, primarily in a comparative
presentation to their instructions on U.S. GAAP.

Accounting Basics Tutorial

Question 11. What Actions Are Being Taken

That Could Allow Private Companies To Follow
Ifrs?

Answer : The AICPA's governing Council in

May 2008 approved amending Rules 202 and
203 of the Code of Professional Conduct to
recognize the IASB as an international
accounting standard setter. That removed a
potential barrier and gives U.S. private
companies and not-for-proEt organizations the
choice whether to follow IFRS.

Finance Interview Questions

Question 12. What Might Make Some Private

Companies In The United States Adopt Ifrs?

Answer : The eventual adoption of IFRS by

small businesses and not-for-proEt
organizations is likely to be market driven. The
IASB has developed a version of IFRS for small
and medium-size entities that would minimize
complexity and reduce the cost of Enancial
statement preparation, yet allow users of those
entities' Enancial statements to assess Enancial
position, cash gows, and performance. IFRS for
Small and Medium-sized Entities (IFRS for
SMEs) was released on July 9, 2009.

Financial Reporting and Analysis

Interview Questions

Question 13. What Could Be The Disadvantages

Of Converting To Ifrs?

Answer : Despite a belief by some of the

inevitability of the global acceptance of IFRS,
others believe that U.S. GAAP is the gold
standard, and that a certain level of quality will
be lost with full acceptance of IFRS. Further,
certain U.S. issuers without signiEcant
customers or operations outside the United
States may resist IFRS because they may not
have a market incentive to prepare IFRS
Enancial statements. They may believe that the
signiEcant costs associated with adopting IFRS
outweigh the beneEts.

Question 14. What Is The Difference Between

Convergence And Adoption?

Answer : Adoption would mean that the SEC

sets a speciEc timetable when publicly listed
companies would be required to use IFRS as
issued by the IASB. Convergence means that the
U.S. Financial Accounting Standards Board
(FASB) and the IASB would continue working
together to develop high quality, compatible
accounting standards over time. More
convergence will make adoption easier and less
costly and may even make adoption of IFRS
unnecessary. Supporters of adoption, however,
believe that convergence alone will never
eliminate all of the differences between the two
sets of standards. In 2011, SEC staff introduced
a possible method of incorporating IFRS into the
U.S. Enancial reporting system that would
represent an endorsement and convergence
approach for aligning U.S. GAAP with IFRS over
a period of time. Ultimately, the expectation is
that the SEC will make a determination on
whether it will incorporate IFRS into the Enancial
reporting system for U.S. issuers and, if it
decides to incorporate IFRS, the method of
incorporation.

Question 15. Who Are The Key Players In The

United States Regarding The Development And
Adoption Of Ifrs?

Answer : The key players are the Securities

and Exchange Commission, which is
responsible for the supervision and regulation of
the securities industry and has oversight
responsibility for the FASB; the Financial
Accounting Standards Board, an independent
body that establishes and interprets U.S. GAAP;
and the IASB, which is working with the FASB on
the convergence of U.S. GAAP and IFRS. The
AICPA has provided thought leadership to the
IASB and the FASB on Enancial reporting topics.

US Taxation Interview Questions

IFRS Related Tutorials

Financial Reporting and Analysis Tutorial

Accounts and Finance for Managers Tutorial

Accounting Basics Tutorial

IFRS Related Interview Questions

Financial Reporting and Analysis Interview Questions

Accounts and Finance for Managers Interview

Questions

Auditing Interview Questions

Taxation Interview Questions

Finance Interview Questions

US Taxation Interview Questions

Chartered accountant Interview Questions

Accounting Principles Interview Questions

Corporate Finance Interview Questions

IFRS Related Practice Tests

Financial Reporting and Analysis Practice Tests

Accounts and Finance for Managers Practice Tests

Auditing Practice Tests

Taxation Practice Tests

Finance Practice Tests

US Taxation Practice Tests

Accounting Principles Practice Tests

List of Tutorials

Developers Best Practices Tutorial

YAML Tutorial

Salesforce Tutorial

Adobe Robohelp Tutorial

Sublime Text Tutorial

GItlab Tutorial

Adobe InDesign CC Tutorial

SaltStack Tutorial
Read More

List of Topics

Summary

Career Planning in best practice

Managing Managers

Stress Management

Eager to Learn

Handy Tools & Techniques

Keep the Assets Safely

Testing is the Religion

Read More

Interview Questions

Ravendb Interview Questions

Cobertura Interview Questions

Java Quartz Interview Questions

Cheque Truncation System Interview Questions

ECS Interview Questions

RTGS Interview Questions

Private Equity Interview Questions

Excel Formulas Interview Questions

Read More

Our Portals : Gulf Jobs Canada Jobs USA Jobs Italy Jobs

All rights reserved © 2020 Wisdom IT Services India Pvt.

Ltd

Ad

Download here
Your content is ready.

YM

Open