Research has shown that the use of financial statements prepared using generally accepted standards can improve the level of analysis and positively impacts the resultant decision-making process. While one of the goals of International Financial Reporting Standards is to facilitate comparisons of the results and performance of companies over time and across industries, the preparation of financial statements involves numerous assumptions and judgments, which influence the outcome of the statements. It is therefore imperative that users are aware of the assumptions and the various ways that the numbers in the financial statements are affected.
The aim of this course is to provide an understanding of the basis of preparation of accounts, how accounts should be used in informing the decision-making process, how accounts are to be compared over time and how comparisons are to be made across companies.
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