Overview of IFRS

-Global GAAPS
Introduction

IFRS is an accounting framework that establishes

recognition, measurement, presentation and
disclosure requirements relating to transactions
and events that are reflected in the financial
statements.
 Contents of IFRS Literature

 IFRS comprises:
 8 IFRSs and 31 IASs
 12 IFRIC and 11 SICs
 Need of IFRS

 To develop, a single set of high quality, understandable

and enforceable global accounting standards.

 To create comparable, reliable, and transparent financial

statements.

 To facilitate greater cross-border capital raising and trade.

 To bring about convergence of national accounting

standards and IFRS.
 Objective of SIP
 To know whether the IFRS mandatory for Indian
organization.

 to know the changes to be made while adopting IFRS in

India.

 Why IFRS implementation is important for an organization.

 challenges faced by organizations while implementing IFRS.

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IFRS and Indian Corporate

The Institute of Chartered Accountants of India (ICAI)

has recently released a concept paper on
Convergence with IFRS in India, detailing the
strategy for adoption of IFRS in India with effect
from April 1, 2011.

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ROADMAP TO IFRS IN INDIA

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Why IFRS in India?
 One language
 Comparability enhanced
 Understanding enhanced
 One set of books
 Access to Global capital markets

 Low cost of capital

 Attract foreign investment

 Elimination of multiple reports

Research Methodology
• Exploratory
• Analytical

Data collection
primary data
direct interview
Secondary data
internet, annual report, induction manual

Sample size- 15

Sampling method- convenience and judgmental

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 Findings
 ICAI has stated that IFRS will be applied to companies
above Rs 1000cr from April 2011.

 Organizations having access globally can report under a

single set of accounting standards.

 Due to various conflict in implementing IFRS like The

Companies act, The Income tax act and some other acts
do not comply with IFRS organizations seems not much
confident while implementing IFRS.

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 Organization Profile
 Ultra Tech Cement Ltd is a subsidiary of Grasim cement.

 In July 2004, Grasim acquired a majority stake and

management control of L&T which was then renamed Ultra
Tech.

 Grasim, along with Ultra Tech cement has an annual capacity

of 45.7 million TPA and is a leading cement player in India.

 UltraTech Cement Ltd has an annual capacity of 18.2 million

tones.

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