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IFRS is a shortcut word for ‘International financial reporting standards’

IFRS is a shortcut word for ‘International financial reporting standards’. this system are released by the IASB which is the international accountings standard board .IFRS are very important for the organizations because it can rise a massive changes for the companies that use this system. the “IFRS” is required for the companies to have a mutual language and process that should lead the accountants to set the reports of the financial statements and the accountings .thus the deals and the accountings will be recognizable and easy to understand between countries and companies in all around the world. thus, there will be lack of fraud because the financial statement are clear and considered by using the IFRS . the aim of ‘IFRS’ is to keep the financial society stable .moreover, (IFRS) provides efficiency accountings to the financial positions for the organizations. this will lead the companies and the investors to set the best financial decisions because by IFRS they will be able to set eye on what was been happened with their company or the organization that they want to invest with. this system will help the company to compare with the foreign organizations financial reports easily and understandably. the system are more important for the organizations that make the outside deals and businesses . furthermore, the using of ifrs was started at the European countries . then the system had quickly been attractive and spread all around the world . now there are more than 100 countries requiring IFRS so they all can deal and make businesses between each others easily because they are using the same system which is IFRS . they were called by its main name “international accounting standard’ which is (IAS). this system was established at 1973 by ‘IASC’ . then the international accounting standard “IAS” moved on upgrading the standard and called it the (IFRS).

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