List of IFRS (International Financial Reporting Standards) is a set of globally accepted accounting standards that provide a common set of principles for financial reporting. The standards provide transparency of financial statements, ensure consistency and comparability of financial statements across different jurisdictions and industries. IFRS is used worldwide and is issued by the International Accounting Standards Board (IASB). India, the UK, Canada, and Australia use IFRS or IFRS-converged standards. This article will discuss the IFRS framework, the IFRS and Ind AS list, and its application in financial reporting.
What is IFRS?
IFRS is the International Financial Reporting Standards introduced to make financial statements uniform and comparable internationally. These standards define the way businesses should prepare and present their financial statements. IFRSs are used by over 140 countries, making it one of the most widely accepted financial reporting frameworks globally.
List of countries that use IFRS
Some countries adopted IFRS or converged it with the national accounting standards. This uniformity of financial statements across borders facilitates easier trade and investment on a cross-border basis. Countries that adopted IFRS, include the following list:
- European Union countries (Germany, France, Italy, etc.)
- United Kingdom
- Canada
- Australia
- India (converged with Ind AS)
- China (converged with Chinese GAAP)
- South Africa
- Japan (optional for listed companies)
- Brazil
What is IASB?
One of the most recognized bodies is the International Accounting Standards Board (IASB), which is a completely independent organization and was formed in 2001. It superseded the International Accounting Standards Committee (IASC), the global accounting standards setter earlier. The International Accounting Standards Board (IASB) is a London-based independent accounting standard-setting body that develops International Financial Reporting Standards to promote transparency and consistency in reporting across the world. It also released the conceptual framework for financial reporting’ in September 2010, whose guidelines, governs accounting practices by the IFRS.
List of IFRS
The list of ifrs contains accounting standards that can be used to a company’s financial statement and business’s operations when reporting its financials documents. IFRS is issued as a standard, replacing previous International Accounting Standards (IAS), and consists of principles-based guidance for the entire industry sector. The IASB continuously updates these standards in light of new financial developments.
| IFRS No. | Standard Name | Description |
| IFRS 1 | First-time Adoption of IFRS | Provides guidelines for entities adopting IFRS for the first time. |
| IFRS 2 | Share-based Payment | Covers accounting for share-based payment transactions. |
| IFRS 3 | Business Combinations | Deals with the accounting treatment of business acquisitions. |
| IFRS 4 | Insurance Contracts | Specifies accounting for insurance companies. |
| IFRS 5 | Non-current Assets Held for Sale and Discontinued Operations | Deals with assets held for sale and discontinued business units. |
| IFRS 6 | Exploration and Evaluation of Mineral Resources | Covers exploration costs related to mineral resources. |
| IFRS 7 | Financial Instruments: Disclosures | Requires disclosure of risks related to financial instruments. |
| IFRS 8 | Operating Segments | Requires segment-wise financial reporting for better transparency. |
| IFRS 9 | Financial Instruments | Deals with classification, measurement, and impairment of financial instruments. |
| IFRS 10 | Consolidated Financial Statements | Establishes principles for presenting consolidated financial statements. |
| IFRS 11 | Joint Arrangements | Defines accounting for joint ventures and partnerships. |
| IFRS 12 | Disclosure of Interests in Other Entities | Specifies disclosure requirements for subsidiaries, associates, and joint ventures. |
| IFRS 13 | Fair Value Measurement | Guides fair value measurement of financial and non-financial items. |
| IFRS 14 | Regulatory Deferral Accounts | Deals with deferral account balances related to rate regulation. |
| IFRS 15 | Revenue from Contracts with Customers | Establishes revenue recognition principles. |
| IFRS 16 | Leases | Defines lease accounting for lessees and lessors. |
| IFRS 17 | Insurance Contracts | Replaces IFRS 4 with updated rules for insurance contract accounting. |
List of IFRS and Ind AS
IFRS-compliant accounting is required in India as per Indian Accounting Standards (Ind AS). Yet, on the whole, Ind AS continues to be very much on the path of IFRS, resulting in Indian financial statements being comparable to others worldwide. Some differences between Ind AS and IFRS are as follows:
- To suit the Indian context, Ind AS retains certain indigenous requirements.
- IFRS and Ind AS are based on different terminologies.
- Some criteria for measurement differ, like how to treat financial instruments.
Components of Financial Statements under IFRS
Under both IFRS, some aspects of financial statements are required for IFRS. Those figures can assist stakeholders in estimating a company’s financial state.
- Statement of Financial Position (Balance Sheet): It shows what an entity owns (assets), what it owes (liabilities), and what the portion owned by shareholders (equity) is. Assists in evaluating financial soundness and liquidity. Significant IFRS concepts that are a departure from US GAAP include the classification of all assets as either current or non-current and the recognition of all financial liabilities at fair value.
- Statement of Profit or Loss and Other Comprehensive Income: The income, expenses, and profit/loss during the year. Comprises the service revenue, finance costs, tax expenses, and net profit. Comprehensive income, which includes unrealised gains/losses on financial instruments. It assists stakeholders with analysing profitability and financial performance trends over time.
- Explanation of Statement of Changes in Equity: Shows movements in share capital, reserves and retained earnings. It shows dividends received, issues of shares, and reval adjustments. Investors utilise it to monitor alterations in ownership value and surplus.
- Statement of Cash Flows: Cash inflows and outflows from operations, investing, and financing. Assist investors in understanding liquidity and cash flow management. It also explains how a company receives and uses cash (inflows and outflows), which helps depict the transparency of the entity’s financial activities.
- Notes to Financial Statements: Additional disclosures on accounting policies, estimates, and risks. Provides transparency and adherence to IFRS. Such notes provide stakeholders with meaningful information to interpret technical and financial metrics and make sound decisions easily.
List of Indian companies following IFRS
A few multinational companies in India use IFRS or Ind AS for their global reporting. Some of the big companies include; Reliance Industries Ltd, Tata Consultancy Services (TCS), Infosys Ltd, HDFC Bank, Wipro Ltd,& Larsen & Toubro (L&T). These firms use IFRS or Ind AS to lure international investors and ensure conformity with international markets.
Relevance to ACCA Syllabus
The IFRS (International Financial Reporting Standards) List is one of the main topics in Financial Reporting (FR) and Strategic Business Reporting (SBR) as part of the ACCA syllabus. ACCA has taught its candidates how the different IFRS standards would apply to review financial statements, recognition and measurement, presentation, and disclosure of different financial transactions. So, learning about IFRS helps meet international financial reporting requirements.
List of IFRS ACCA Questions
Q1: Which IFRS standard relates to presentation of financial statement?
A) IFRS 7
B) IFRS 10
C) IFRS 1
D) IFRS 1
Ans: D) IFRS 1
Q2: How does IFRS 3 require goodwill to be initially measured in a business combination?
A) As the total of the fair value of all assets acquired
B) The difference between the purchase price and the net fair value of identifiable assets and liabilities
C) The fair value of liabilities assumed on the transaction
D) As the cost of acquisition less the net book value of assets
Ans: B) As the excess of the purchase price over the net fair value of identifiable assets and liabilities
Q3: Name the IFRS standard relating to fair value measurement.
A) IFRS 15
B) IFRS 9
C) IFRS 13
D) IFRS 7
Ans: C) IFRS 13
Question 4: Which of the following IFRS Standards deals with revenue recognition?
A) IFRS 16
B) IFRS 9
C) IFRS 15
D) IFRS 3
Ans: C) IFRS 15
Q5: IFRS usually has its own standard when it comes to impairment of assets.
A) IFRS 5
B) IAS 36
C) IFRS 10
D) IAS 12
Ans: B) IAS 36
Relevance to US CMA Syllabus
There is a comparison of IFRS and US GAAP as a part of the Financial Reporting, Planning, and Performance in the US CMA syllabus. IFRS and CMA IFRS teach candidates how IFRS affects the presentation of financial statements and the consolidation and financial instruments statements required. Understanding IFRS allows international finance professionals to interpret foreign financial statements.
List of IFRS US CMA Questions
Q1: What is the purpose of IFRS 1 in the context of financial reporting?
A) It requires companies to account for all of the assets and liabilities at historical cost
B) It includes a guide for making the leap from local GAAP to IFRS
C) IFRS adoption related to taxation policies
D) It provides consistency for all financial reporting across the world
Ans: B) It establishes a framework for migrating from local GAAP to IFRS
Q2: What is a significant exemption in IFRS 1?
A) All historical transactions must be disclosed in IFRS format
B) The fair value of the assets could be applied rather than the historical cost.
C. The first IFRS report is required to consolidate subsidiaries.
D) No transition relief can be applied by entities.
Ans: B) Instead of historical cost, the fair value of assets may be used
Q3: Which IFRS standard introduces the expected credit loss model?
A) IFRS 9
B) IFRS 15
C) IFRS 16
D) IFRS 7
Ans: A) IFRS 9
Q4: Which of the following is a mandatory liquidity risk disclosure according to IFRS 7?
A) Trends in market capitalisation
B) Contractual maturities of financial liabilities
C) Expected maturities of financial assets
D) A description of how liquidity risk is managed
Ans: B) Contractual maturities of financial liabilities
Q5: Why is IFRS 7 significant for CFA professionals who are analysing financial reports?
A) It governs dividends
B) It is used to evaluate exposure to financial risks
C) Gives required guidelines for identifying the tax treatment
D) It supersedes GAAP reporting standards
Ans: B) It aids in measuring exposure to financial risks
Relevance to US CPA Syllabus
The US CPA syllabus covers this in the Financial Accounting & Reporting (FAR) paper. Each CPA candidate must understand how and when the IFRS are applied, the convergence efforts, and the important differences between US GAAP and IFRS. IFRS is Comprehendible for Multi-National Corporates and Regulatory Compliance
List of IFRS US CPA Questions
Q1: What is IFRS 15 about?
A) Revenues from contracts with customers
B) Inventory valuation
C) Lease classification
D) Presentation of the financial statements
Ans: 1) A) Revenue from contracts with customers
Q2: Under IFRS 13, what is the market approach?
A) By calculating the present value of future cash flows
B) Uses market price of similar assets
3) Uses the cost to replace an asset.
D) Uses the same rate of depreciation
Answer B) Leverages observable prices of similar assets
Q3: What level of the IFRS 13 fair value hierarchy is driven by unobservable inputs?
A) Level 1
B) Level 2
C) Level 3
D) Level 4
Answer: C) Level 3
Q4: IFRS 13 establishes a simple framework for measuring fair value:
A) Estimates made inside, by the entity
B) Assumptions by market participants
(b) Adjustments to the historical cost
D) Tax-adjusted valuations
Ans: B) Assumptions made by market participants
Q5: IFRS 7 focuses on:
A) Fair value measurement
B) Information about Financial Instruments
C) Consolidated statements
D) Income tax
Ans: B) Disclosure of financial instruments
Relevance to CFA Syllabus
Financial Reporting & Analysis is the keyword since the CFA curriculum includes extensive coverage of IFRS. Candidates in the CFA curriculum study accounting based on IFRS for key financial statement fundamentals, revenue recognition, lease accounting, and fair value measurement. Critical for Investment Analysis, Portfolio Management, & Global Financial Reporting.
List of IFRS CFA Questions
Q1: When a lessee capitalizes leases under IFRS 16, what is the impact on a company’s financial leverage?
A) Its liability grows
B) Tumbles because it has lower penalties
C) It remains unchanged
D) It becomes irrelevant
Ans: A) High liabilities leads to increase of it.
Q2: Why was IFRS 16 originally introduced?
A) Increase lease transparency and remove off-balance sheet financing
B) To reduce lease expenses
C) To increase profitability
D) To eliminate lease reporting
Ans. A) Improve lease transparency and remove off-balance sheet financing
Q3: What does IFRS 7 do?
A) Financial Instruments disclosures
B) Employees and Employee benefits
C) Business combinations
D) Share-based payments
Ans: A) Disclosure on financial instruments
Q4: What does IFRS 8 require?
A) Combined financial statements
B) Revenue from contracts with customer
C) Operating segments
D) Cash flow classifications
Ans: C) Operating segments
Q5: Which IFRS standard is related to investment property?
A) IAS 36
B) IFRS 13
C) IAS 40
D) IFRS 16
Ans: C) IAS 40
