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-Full disclosure principle - present the provisions of this concept provided by GAAP (GENERALLY ACCEPTED ACCOUNTING...

-Full disclosure principle - present the provisions of this concept provided by GAAP (GENERALLY ACCEPTED ACCOUNTING STANDARD) present provisions provided by IFRS (INTERNATIONAL FINANCIAL REPORTING STANDARD) are presented.

-Related parties - present the provisions of this concept provided by GAAP (GENERALLY ACCEPTED ACCOUNTING STANDARD) present provisions provided by IFRS (INTERNATIONAL FINANCIAL REPORTING STANDARD) are presented

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From Balance Sheet point of view – GAAP calls for accounts to be listed in the order of Liquidity – how quickly and easily they can convert unto cash .

Under GAAP , item classified as most liquid to least liquid manner .

Under GAAP – follow decending order like –current assets , non current assets , current liabilities , non current liabilities and Equity

                   Where as under IFRS – the order is reversed Least liquidity to most liquidity manner . l

            Under IFRS , system like “ Non current assets , current assets , owners Equity , non current liability    and current liability

In case of Financial Instrument – hedging matter – As per IFRS perfect hedge effectiveness not permitted even if the principal terms of the hedging instrument and the hedged item are the same as hedge ineffectiveness may arise because of other attributable such as liquidity of the instrument

Where as in case of GAAP , hedge effectiveness not depends on Liquidity. As per GAAP , the entity could conclude that changes in fair value or cash flow attributable to the risk being hedged are expected to completely offset at inception and on a ongoing basis .

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