What is a major difference between US GAAP and IFRS affecting the revenue recognition practice?
IFRS sticks more closely to the principle that revenue should be recognized as value delivered, while the industry-specific rules under GAAP give the construction company another option outside that broad principle.
What are the major differences between IFRS and US GAAP in the translation of foreign currency financial statements?
The primary difference between the two systems is that GAAP is rules-based and IFRS is principles-based. This disconnect manifests itself in specific details and interpretations. Basically, IFRS guidelines provide much less overall detail than GAAP.
What is Congencies with IFRS?
Contingent liabilities are possible obligations whose existence will be confirmed by uncertain future events that are not wholly within the control of the entity.
What is the difference between ASC and IFRS?
A completed contract under ASC 606 is defined as a contract in which all, or substantially all, the revenue has been recognized. Under IFRS 15, a completed contract is one in which the entity has transferred all goods or services.
Which of the following is generally true about the differences between US GAAP and IFRS?
Which of the following is generally true about the differences between U.S. GAAP and IFRS? U.S. GAAP tends to be more rules-based and IFRS tend to be principles-based.
How do US GAAP and IFRS differ in their use of present values when measuring contingent liabilities?
How do U.S. GAAP and IFRS differ in their use of present values when measuring contingent liabilities? In IFRS, present values must be used to measure a liability whenever the time value of money is material. That requirement does not exist for U.S. GAAP.
What is a liability US GAAP?
Companies operating in the United States rely on the guidelines established in the generally accepted accounting principles (GAAP). Under GAAP, a contingent liability is defined as any potential future loss that depends on a “triggering event” to turn into an actual expense.