AS)
Accounting as a ‘language of business’ communicates the financial
results of an enterprise to various stakeholders by means of financial
statements. In order to ensure transparency, consistency, comparability,
adequacy and reliability of financial reporting, it is essential to
standardise the accounting principles and policies. Accounting
Standards (ASs) provide framework and standard accounting policies so
that the financial statements of different enterprises become
comparable.
OBJECTIVES
✓ eliminate the non-comparability of financial statements and
thereby improving the reliability of financial statements; and
✓ Provide a set of standard accounting policies, valuation norms and
disclosure requirements.
Applicability
✓ Every Listed Company.
✓ Unlisted Companies with Net Worth of not less than Rs. 2.5 billion
($36.7 million) and not more than Rs. 5 billion ($73.4 million)
LIST OF AS
❖ AS 1- Disclosure of Accounting Policies(Issued 1979)
❖ AS 2- Valuation of Inventories
❖ AS 3- Cash Flow Statements
❖ AS 4- Contingencies and Events Occurring after the Balance Sheet Date
❖ AS 5- Net Profit or Loss for the Period, Prior Period Items and Changes in
Accounting Policies
❖ AS 6- Depreciation
❖ AS 7- Accounting for Construction Contracts
❖ AS 8- Accounting for Research and Development
❖ AS 9- Revenue Recognition
❖ AS 10- Accounting for Property, Plant and Equipment
❖ AS 11- The Effects of Changes in Foreign Exchange Rates
❖ AS 12- Accounting for Government Grants
❖ AS 13.- Accounting for Investments
❖ AS 14. Accounting for Amalgamations
❖ AS 15. Employee Benefits
❖ AS 16. Borrowing Costs
❖ AS 17. Segment Reporting
❖ AS 18. Related Party Disclosures
❖ AS 19. Leases
❖ AS 20. Earnings Per Share
❖ AS 21. Consolidated Financial Statements
❖ AS 22. Accounting for Taxes on Income
❖ AS 23 Accounting for Investments in Associates in Consolidated Financial
Statements
❖ AS 24 Discontinuing Operations
❖ AS 25 Interim Financial Reporting
❖ AS 26 Intangible Assets
❖ AS 27 Financial Reporting of Interests in Joint Ventures (AS 27)
❖ AS 28 Impairment of Assets (AS 28)
❖ AS 29 Provisions, Contingent Liabilities & Contingent Assets(AS 29)
❖ AS 30- Financial Instruments: Recognition and Measurement’,
❖ ‘AS 31- Financial Instruments: Presentation’,
❖ ‘AS 32- Financial Instruments: Disclosures’ stands withdrawn.
Special list for Ind AS prepared by CS ABHISHEK OJHA (Search ABHISHEK OJHA on you tube)
Sales
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(A) To prepare the accounting reports which is easily understood by common man.
(D) To comply with the requirements of the International Accounting Standards (IAS)
QU.. In India, which of the following is prepared on the guidelines of AS-3 (Accounting Standard – 3) ?
QU. Match the items of List - I with those of List - II and indicate the correct code :
List - I List - II
Code :
(1) Accounting for Fixed Assets (2) Accounting treatment for goodwill
List – I List - II
Codes :
QU. AS – 6 was made mandatory from the accounting period beginning on or after
(A) 01 – 04 – 1991
(B) 01 – 04 – 2001
(C) 01 – 04 – 2004
(D) 01 – 04 – 1995
(A) 1989
(B) 1977
(C) 1889
(D) 1997
(A) All Accounting Standards in India are framed by ICAI from time to time
(C) Responsibility Accounting presumes Revenue and Cost Centers are identifiable
List I List II
d. AS 19 (iv) Depreciation
B) a - iii, b - iv, c - i, d - ii
A B
List A List B
b) Capitalisation of patents 2) AS 6
d) Charging of depreciation 4) AS 2
QU. Which International Accounting Standard deals with the preparation of cash flow
statement?
A) AS 11 B) AS 12 C) AS 16 D) AS 19
A) AS 10 B) AS 26 C) AS 6 D) AS 16