059 Work in progress of application of IFRS in three countries
In the United States, they will decide within this year
whether or not the application of IFRS should be obliged
for the US reporting system of financial statements. FASB
(Financial Accounting Standards Boards), which is the
entity that sets out US accounting standards, made an
agreement with IASB (International Accounting Standards
Boards) in 2002 that they unify the significant differences
between two accounting standards (The Norwalk Agreement).
Based on this agreement, Memorandum of Understandings
(MoU) was exchanged, and that is the start of “MoU Project”.
They have been working on revising IFRS to dissolve the
material differences, which is due June 2011. It is said that
MoU Project will make a drastic change to IFRS relating to
“Revenue”, “Leases”, “Presentation of Financial Statements”,
and Financial Instruments”. We are going to see a lot of
changes to IFRS this year. They also say the project is in the
delay and the reform of the IFRS will be done after July 2011.
