Page 46 - CA_ELG_Volume I_ELG-Sample
P. 46
1.36 Theoretical Framework Principles and Practices of Accounting Paper 1
1.21.4 Developments in Ind AS
First step towards IFRS – In consultation with ICAI, the Government of India decided
to converge and not to adopt IFRSs. This decision was taken after detailed analysis
and discussion with various stakeholders. It was decided to be in line with the corre-
sponding IFRS and departures wherever needed were made. These changes have been
made after considering economic environment of India as the economic environment
here is different from that of developed countries where IFRS is adopted.
What is Ind AS?
Ind-AS are the IFRS-converged standards issued by the Government of India under
the supervision and control of ASB.
The Government of India is continuously committed in developing IFRS converged
Ind AS.
Rapid Fire Q&A
Questions Answers
1. The Government of India in consulta- 1. (d) Converge with IFRS
tion with the ICAI decided to:
(a) Apply IFRS in India
(b) Adopt IFRS in India
(c) Notify IFRS in India
(d) Converge with IFRS
2. Global standards facilitate 2. (d) All of the above
(a) Global listing in different bourses
(b) Comparability of financial state-
ments
(c) Cross border flow of money
(d) All of the above
Glossary: Additional Accounting Terminologies
Amortisation: The gradual and systematic writing off of an asset or an account over
an appropriate period.
Amortised value: The amortisable amount less than any portion already provided by
way of amortisation.
Unexpired cost: That portion of an expenditure whose benefit has not yet been
exhausted.
Copyright © Veranda Learning Solutions | www.verandalearning.com/ca
