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what is the objective and scope of IFRS 1

what is the objective and scope of IFRS 1

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Answer #1

IFRS : 1

The objective of IFRS 1 is to ensure that an entity’s first International Financial Reporting Standards financial statements, and its interim financial reports for part of the period covered by those financial statements, contain high quality information that:

i. is transparent for users and comparable over all periods presented;

ii. provides a suitable starting point for accounting in accordance with International Financial Reporting Standards; and

iii. can be generated at a cost that does not exceed the benefits.

SCOPE :

An entity applies IFRS 1 in:

a. its first International Financial Reporting Standards financial statements; and

b. each interim financial report, if any, that it presents in accordance with IAS 34 Interim Financial Reporting for part of the period covered by its first International Financial Reporting Standards financial statements.

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