Differences between IFRS and AAIOFI standards Term Paper

Differences between IFRS and AAIOFI standards - Term Paper Example The development of the international accounting standards and its acceptance would help in reducing the compliance costs and in the process would develop consistency in the quality of the audit. (IFRS in your pocket 2005, p. 2) What are IFRS standards? The International Financial Reporting Standards (IFRS) have been enforced by International Accounting Standards Committee for the better understanding by the equity investors, the lenders and anyone else who uses the information. The world securities regulators have been recommended by the International Organization of Securities Commission to allow the foreign users to use IFRS in making financial statements for the cross border offerings and listings. The uses of IFRSs have been made obligatory in the consolidated statements of the listed Europe companies from the year 2005. It has also been reported that many countries have started replacing their national GAAP by IFRSs in their domestic companies in comparison with the other nation s which are adopting policies to approve IFRSs either verbatim or in the exact manner as their national standards. The IASB and the US counterpart of it, the Financial Accounting Standard Boards, have taken up a comprehensive agenda to converge the IFRSs and the US GAAP as much as possible over the next several years. A convergence project has also been initiated with Japan. The pre-requisites of the global business is a global capital market which is ensured by superior governance, better-quality laws and a set of internationally accepted accounting standards. The IFRSs standards have been largely accepted around the world. The Standards of IFRS 1. The initial acceptance of the International Financial Reporting standards. The objective of the standard was to lay down the process when the IFRSs are being newly adopted by any organization while drafting its financial statements for common purpose. The statement includes an overview of the financial statements for the first time entit ies and they should draft their accounting policies according to the IFRSs which have been enforced from 31st December, 2005. The organization is needed to frame its financial statements at least for the years 2005 and 2004 and also should reaffirm the opening balance sheet. As IAS 1 requires the comparative financial data of the previous one year minimum the opening balance sheet that will be produced should be of January 1, 2004 if not earlier than that. If the entity adopts the standards on 31st December 2005 and produce selected portion of the financial data on an IFRS basis for the period before 2004 along with its financial statements for the year 2004 and 2005, that would not change the fact that the opening balance sheet according to the IFRSs standards will be of 1st January 2004. (p. 57) 2. Share Based Statement The objective of the standard is to lay down for the transaction which involves the receiving or acquiring of goods or services by the entity either as a â€Å"co nsideration for its equity instruments or by incurring liabilities for amount based on the price of the entity’s shares or other equity instruments of the entity†. (p. 58) The Standard specifies the mandatory recognition of the entire share based payments in the financial statements on the basis of a fair value measurement. It also specifies the recognition of any goods and

E-Business strategy Essay Example | Topics and Well Written Essays - 2500 words

E-Business strategy - Essay Example Starbucks Company also has an information technology department that incepted its first website in 1998. This use of website has enabled the company slowly embrace and transact with e-commerce. In the year 2000, Starbucks Company managed to upgrade its server system to the Microsoft Commerce server 2000, which led to a remarkable improvement witnessed in its online service delivery. The Company has continually embraced e-commerce by purchasing different commerce servers in relation to the change in technology Stanford-Smith and Kidd 2000.The presence of e-business and e-commerce has enabled Starbucks Company to consistently purchasing numerous advanced registers and coffee machines to replace the old systems. The use of these new systems has contributed to the improvement of staff‘s efficiency and the speed, with the inclusion of assisting the shops to produce better quality coffee products. The use of these new materials and processes has resulted in the company. Starbucks Com pany and coffee houses no longer experience annoying queues to be served. This ensures the Starbucks considerably expand its customer base, and assist in the improvement of better customer relations.E-business has become one of the few technologies strategies that have been sort of by many companies and organizations. Through this technology, companies are able to improve their facilities by the use of the internet, intranet and extranet in ensuring that they have both intra and extra communication within the company, and the outside world.... Some of the issues that need to be addressed include poor communication between the staffs, customers and the external world. Rationale for The process mapping of Starbucks technological advancement Starbucks has made some efforts to improve customer communication. This has been central to design evaluation. These efforts include development of the brand in order to improve customer experience. One of these processes involved improvement of internal communications in the effort to ease customer base connection. Sophisticated feedback machinery sees to it that customer’s feedback is collected and acted upon in an effective and timely manner. One of such an effort includes the intention by the company to partner with Square’s GPS mobile for improved payments. In addition, through GPRS, the customer can be able to receive alerts on any updates including special offers. Starbucks can also get alerts whenever a returning customer has returned for more. Furthermore, Starbucks was named the most popular social media brand. It uses several social media sites to reach out new customers and continued communication with the old customers. Some of the popular sites used by Starbucks include Facebook, Twitter, and Foursquare. In addition, the company has adopted the use of digital network in its stores. With Wi-Fi availability, the company is able to entertain customers with digital networks. The process mapping of Starbucks technological advancement The Intertwining E-business and Starbucks can be intertwined. This is because e-business uses tools like mobile phones, file transfer, video conferencing, internet, intranets, and extranet to improve the administrative and operational activities. It ensures that Starbucks is in a position to access the internet to source