Essay: Advantages of Applying Principle Based Approach to Standards

Sample Essay

The advantages of applying principle based approach to standards are described below.

• The standards are much more simplistic and easy to understand due to general principles rather than specific rules.
• The information contained in financial statements prepared using principle based standards is more transparent.
• The standards require lesser interpretation and guidance for practical application.
• The standards help in easy convergence with International Accounting Standards.
• Principle based standards are easily applicable to any advancement in accounting practices and procedures.
• The formulation, preparation, issue, interpretation and application of these standards save valuable time and costs.

Please go to the order form to order essays, research papers, term papers, thesis, dissertation, case study, assignments on this essay topic.