PROPHIX CPM Blog

Transition to IFRS: Why You Should and How You Can

Published March 8, 2010 @ 12:05 by Arwa in Industry News

The AICPA (American Institute of Certified Public Accountants) published an article last week referencing content and speakers from an IFRS Webcast that was sponsored by PROPHIX.

The AICPA is a national, professional organization for all Certified Public Accountants. Its mission is to provide members with the resources, information, and leadership that enable them to provide valuable services in the highest professional manner to benefit the public as well as employers and clients.

The article addressed Finance Executives' prominent question as to why they should change to IFRS (International Financial Reporting Standards) and if there are any real benefits.

Cecil Nazareth, partner at IFRS Partners, along with Geoffrey Ng, Vice President of Product Planning at PROPHIX, gave valuable insight about transitioning to IFRS while presenting at the recent IFRS Webcast that was sponsored by PROPHIX.

Geoffrey Ng explained that by adopting IFRS, companies would benefit in lowered cost of capital, integrated IT systems, easier consolidation and reduced overall costs.

Nazareth expanded on Ng's benefits. He noted that 'IFRS makes sense to investors, the public and those who use financial statements.' He also said that IFRS provides:

• comparability across countries;
• consistency in application;
• cost-saving in compiling financial statements by eliminating time and effort in conversion/consolidating; and
• ease of compiling consolidated financial statements.

Nazareth also suggested to start today as the process takes two years.

Click here to read the entire AICPA article on how and why transition to IFRS. We also suggest that you listen to the recording of the recent IFRS Webcast that was sponsored by PROPHIX.

---

 Subscribe to the PROPHIX Financial Performance Management Software News RSS Feed

 Follow PROPHIX Software on Twitter