NAME: Ma. Carmela S.

Ocate
BSA 1A
The Philippine Financial Reporting Standards (PFRS) are a set of guidelines for
financial reporting in the Philippines. The Republic of the Philippines shall be referred to
as "Philippines." The Philippine Rating Services Corporation is referred to as
"PhilRatings." The Philippine Stock Exchange (PSE) is the new set of Generally Accepted
Accounting Principles (GAAP) issued by the Accounting Standards Council (ASC) to
govern the preparation of financial statements. The Philippine Financial Reporting
Standards (PFRS)/Philippine Accounting Standards (PAS) are the new set of Generally
Accepted Accounting Principles (GAAP) issued by the Accounting Standards Council
(ASC) to govern the preparation of financial statements. . The Bangko Sentral ng
Pilipinas (BSP) pronounced its adoption of the PFRS/PAS effective the annual
financial statements beginning 1 January 2005 in its Memorandum to All Banks
and Other BSP Supervised Financial Institutions (BSFIs) dated 11 January 2005.
The adoption of the new set of standards is aimed at promoting fairness,
transparency and accuracy in financial reporting. The purpose of using the
International Financial Reporting Standards (IFRS) and Philippine Financial
Reporting Standards (PFRS) is to ensure consistency in recording, recognizing,
and measuring financial transactions, which, if followed correctly, will ensure
stability and transparency throughout the company's financial reporting process.