Effective Study Techniques for the WorldatWork T7 Exam

Standards Advisory Council (SAC)

International Accounting Standards Committee (IASC) Foundation

International Financial Reporting Interpretations Committee (IFRIC)

International Accounting Standards Board (IASB) staff

Short-term benefits

Post-employment benefits

Termination benefits

Long-term benefits

Create equity across the economies of different countries

Reduce the number of cross-border capital flows

Greater comparability between companies equals lower cost to investors

Less competition among exchanges

Short-term benefits

Post-employment benefits

Termination benefits

Long-term benefits

Period costs

Production costs

Cost of materials

Expenses

To show sources of funds and the manner in which those funds are employed

To account for changes in cash during the accounting period

To show details of the nature of a company’s operating activities

To reconcile the beginning and ending balances of stockholders’ equity

Approves principles-based standards and informs International Accounting Standards Board (IASB) of implications of proposed standards

Oversees standards set for the public sector

Monitors International Accounting Standards Board (IASB)’s effectiveness, raise funds, approve budget, responsible for constitution

Provides advice to International Accounting Standards Board (IASB) on priorities

Operating expenses

Current liabilities

Current debt

Total expenses

Complete, neutral, freedom from error

Assets, liabilities, equity

Predictive value, confirmatory value, relevance

Comparability, verifiability, timeliness

To develop a single set of high quality and enforceable global accounting standards

To align US standards and International Accounting Standards Board (IASB) standards

To appoint Standards Advisory Council (SAC) members

To monitor International Accounting Standards Board (IASB) effectiveness