IFRS for Derivative Financial Instruments: Disclosure Level and Uniformity

Arjun Gope, Gautam Mitra

Abstract


Increasing use of derivative financial instruments opens up new horizons of accounting studies altogether. As we agree with the fact that “accounting is the language of business,” then business enterprises round the world should have a common language to report the results of business and trade to their international stakeholders. IFRS-adopted countries follow different accounting standards like as IAS 32, IAS 39, IFRS 7 and IFRS 13 for reporting and disclosing the derivative transactions. A few countries are likely to adopt the IFRS for DFI in the near future. The findings of the study suggest that although the IFRS-adopted companies’ reporting and disclosure level is not more than the level of 75% of the standard but the companies are uniformly reporting and disclosing DFI among the countries


Keywords


Stakeholder, IFRS, Derivative, Disclosure.

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