Salma Ahmed
English Lit. GCSE Student
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Explain the purpose of Accounting Standards and outline the functions of each of the bodies involved in the standard setting process.
- Words:
- 3474
- Submitted:
- Thu Nov 20 2003
Have a little read: ... 1.0 Explain the purpose of Accounting Standards and outline the functions of each of the bodies involved in the standard setting process. 1.1 Purpose of Accounting Standards Inconsistency between company accounts prompted the accountancy profession to introduce standardised procedures known as Accounting Standards. (Black 2002). Today, Accounting Standards are known as Financial Reporting Standards or (FRSs). Standards issued by previous bodies were known as Statements of Standard Accounting Practice or (SSAPs). These are still in use and are in constant review by the Accounting Standards Board (ASB), some have been withdrawn and others superseded by FRSs According to (Black 2002) it is a legal requirement that the financial reports provide a 'true and fair view' of the transactions made by the Company during the course of a year. Accounting Standards outline the specific procedures required to produce consistent and functional reports. Their purpose is also to improve the quality and the usefulness of
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