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IFRS: IFRS (International Financial Reporting Standards) is a set of accounting standards that were developed as global standard. The IFRS was developed by IASB (International Accounting Standards Board) in 2005. 25 member states of the European Union together decided to adopt a common set of financial reporting standards called IFRS. The objective of setting up the IFRS was to further standardize the accounting rules followed across the globe. It aims to make comparisons in organizations across the globe much simpler. Roy Dodge (2007)
IFRS has already been adopted by over 12000 organizations across the globe, in more than 100 countries ranging from UK to Australia. This transition has been seen maximum in the European Union. In 2003, IFRS was made mandatory in the European Union countries, Australia, some parts of the Middle East, Africa and Russia. Countries like India and Canada are yet to adopt the IFRS standards. The number of nations adopting the IFRS is growing every day, with the expected number of nations to grow to 150 by 2011.
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