Question

There is a general acceptance of IFRS that does not exactly result in a fair comparison globally in regards to financial statements. It is not feasible due to the different forms of currencies/different economic climates/values etc. It is a nice idea in a perfect world, but it will never happen as cultural differences come into play as well. Also, the IFRS has benchmark vs alternatives but there is not comparability between the two.

What do you think of this discussion??

Answer 1

The main purpose of IFRS is to provide comparably basis and consistency all over the world in terms of financial statements

However practically it is not possible for the entire world to think alike and come to a conclusion of IFRS ddue to currency , language barriers , tax rate etc

It is important that a layman or an investor should have common grounds to compare the financials , but it is not possible to do so in this entire world right now , Changes may occur and take place sooner or later but as of now it is quiet difficult to do so

IT is difficult to compare , but not impossible all the accounting standard aim in showing true and fair financial statements and following IFRS or any other accounting standard should not be a problem unless and untill the aim is to be true and show integrity towards the shareholders and not do any malpractises