Discuss the differences in classifications of cash flows between IFRS and U.S. GAAP.
Deliverable Length: 1,000–1,200 words
Description:
Weekly tasks or assignments (Individual or Group Projects) will be due by Monday and late submissions will be assigned a late penalty in accordance with the late penalty policy found in the syllabus. NOTE: All submission posting times are based on midnight Central Time.
International Accounting Standard 18 (IAS 18) provides the general standards for revenue recognition and measurement in the IFRS.
- Provide 3 examples of the differences between the 2 sets of standards.
- Review the IAS 7 statement of cash flows, and complete the following:
- Discuss the differences in classifications of cash flows between IFRS and U.S. GAAP.
- What impacts will these have on U.S. companies?
- Cover the differences with the classifications of contingent liabilities between U.S. GAAP and IFRS. Be sure to cover the topics of possible, probable, and bright-line tests.
- When looking at cash and cash equivalents definitions between IFRS and U.S. GAAP, discuss the differences for the following:
- Best estimates
- Risks
- Uncertainties
