Generally Accepted Auditing Standards (2)

Financial AccountingNOTE: Values shown are estimates and may differ slightly from actual costs. The objective of AS 29 is to ensure that appropriate recognition criteria and measurement bases are applied to provisions and contingent liabilities and sufficient information is disclosed in the notes to the financial statements to enable users to understand their nature, timing and amount. The objective of this Standard is to establish principles for recognizing and measuring Financial assets, financial liabilities and some contracts to buy or sell non-financial items.

This standard applies in accounting for provisions and contingent liabilities and contingent assets resulting from financial instruments (not carried at fair value) and insurance enterprises (other than those arising from contracts with policyholders). This Accounting Standard will become mandatory in respect of Accounting periods commencing on or after 1-4-2011 for all commercial, industrial and business Entities except to a Small and Medium-sized Entity.Financial Accounting

As30 Financial Instrument: Recognition and Measurement, issued by The Council of the Institute of Chartered Accountants of India, comes into effect in respect of Accounting periods commencing on or after 1-4-2009 and will be recommendatory in nature for An initial period of two years. By reducing the amount of time needed to research accounting topics, accounting professionals can perform their work far more efficiently and effectively.

The FASB Codification System is a database of accounting information that allows the user to search among thousands of US GAAP pronouncements organized into approximately 90 topics. Codification is intended to reduce the complexity of nongovernmental accounting standards , while facilitating the increased need for international accounting standards. Financial information is important for an investor for making sure that the investment is secure.

In addition, accounting professionals can lessen the risk of noncompliance through improved usability of literature and real time updates on new standards. Furthermore, Codification is intended to bridge the gap between differences in accounting practices between international accounting standards and the FASB. Presentation offers guidance on income statement preparation, notes to financial statements, and for calculating earnings per share. The Revenue area is intended to guide accounting professionals on revenue recognition and updates to accounting standards that affect revenue recognition.

Financial Accounting