Name: Russel Dsouza Project: IFRS Roll no: 04 Stream: Finance Synopsis Introduction: IFRS stands for International

Financial Reporting Standards. IFRS has seen growing importance around the world. The number of companies that are presenting their financial statements in IFRS standards are increasing year on year. Most of these companies are publically listen companies on various stock exchanges around the world. IFRS has been introduced as single system for accounting and preparing financial statements as the world is becoming more global and regulators, investors and auditing firms are becoming to realize the importance of having a single accepted common standard of accounting and for preparing financial statements. It is also a move to ensure the developing and smaller nations who have yet not adopted or developed accounting standards have a system and framework on preparing financial statements. Also many blocks like the European union,SAARC,BASIC have strengthened the need to have a common accounting standards. These standards were promoted by the Securities Exchange Commission (U.S). Prior to this there were International Accounting Standards which were governed by the International Accounting Standards Committee (IASC). International Accounting Standard Board took over the from the International Accounting Standards Committee. it was founded on April 1St 2001.It was responsible for developing IFRS(International Financial Reporting Standards). IASB(International Accounting Standards Board) is an independent body located in London in the United Kingdom. IFRS has been adopted and followed by countries like Australia, New Zealand, Russia and also the European Union. The Institute of Charted Accountant of India has recently approved the following of IFRS to large companies/organization, listed companies,banks,insurance companies. The adoption of IFRS in India would be in phases Phase I (opening balance sheet as at 1 April, 2011): Companies which are part of BSE - Sensex 30 and NSE - Nifty 50 Companies whose shares or other securities are listed outside India;

 Companies whether listed or not, having net worth of more than Rs. 1,000 crores. Phase II (opening balance sheet as at 1 April, 2013): Companies not covered in Phase 1 and having net worth exceeding Rs. 500 crores. Phase III (opening balance sheet as at 1 April, 2014): Listed companies not covered in earlier phases.

Objective : The objective to conduct a project on IFRS is to seek The importance of IFRS and it necessity for complete adoption The benefit Derived by adopting IFRS The comparison or the difference between IFRS and Indian Accounting Standards The difficulty faced and the consequences that may rise from such change in accounting standards. Cost associated form adopting such Standards Impact on companies who adopt IFRS immediately and those who delay the adoption of IFRS process. Scope: An understanding of IFRS Difference between the Indian Accounting Standards and IFRS Benefits of adopting IFRS Understanding the challenges faced in this process HYPOTHESIS (proposed) Phase wise adoption IFRS would create imbalance share price of companies in India. Challenges in adoption of IFRS in companies by employees

Sources of Data Collection: Primary Data: Interview from people of industry , charted accountants, research Analyst.

Sample Size:30 Secondary Data: Internet, prowess, magazines, books Analysis: Comparison of balance sheet and various financial statements of a company with IFRS standards used and accounting standards Comparison of companies who have adopted IFRS and not adopted IFRS Limitations: The data will be limited to a sample The comparison may vary from one company to another