Page 35 - CAPE Financial Services Syllabus Macmillan_Neat
P. 35

UNIT 1
MODULE 3: GOVERNANCE, REGULATIONS AND ETHICS (cont’d)

SPECIFIC OBJECTIVES                                     CONTENT
Students should be able to:
14. discuss the impediments to                 (a) Misunderstandings of the nature of
                                                        standards.
         international accounting
         standards;                            (b) Lack of appropriate mechanisms for
                                                        granting national authority to
15. State all the principles of Generally               international standards.
         Accepted Accounting Principles
         (GAAP) inclusive of GAAP              (c) Inconsistencies between standards
         accounting concepts;                           and legal framework of the particular
                                                        sovereign state.

                                               (d) Non-observability of compliance.

                                               (e) Mismatch between accounting,
                                                        auditing requirements and market
                                                        demands.

                                               Principles of GAAP inclusive of GAAP
                                               accounting concepts:

                                               (a) The Business Entity Concept.

                                               (b) The Going Concern Concept.

                                               (c) The Principle of Conservatism.

                                               (d) The Objectivity Principle.

                                               (e) The Time Period Concept.

                                               (f) The Revenue Recognition
                                                        Convention.

                                               (g) The Matching Principle.

                                               (h) The Cost Principle.

                                               (i) The Consistency Principle.

                                               (j) The Materiality Principle.

                                               (k) The Full Disclosure Principle.

CXC A38/U2/16                              30
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