IFRS
A) requires a specific format for the balance sheet (statement of financial position) that is identical to U.S. GAAP.
B) requires a specific format for the balance sheet (statement of financial position) that is different from U.S. GAAP.
C) requires no specific format for the balance sheet (statement of financial position) but most companies that follow IFRS prepare the statement identical to U.S. GAAP.
D) requires no specific format for the balance sheet (statement of financial position) but most companies that follow IFRS prepare the statement in a different format from U.S. GAAP.

Question

Quizplus · Accepted Answer

IFRS does not require a specific format for the balance sheet (statement of financial position) but most companies that follow IFRS prepare the statement in a different format from U.S. GAAP. This is because IFRS principles allow for greater flexibility and judgment in the presentation of financial information compared to the more prescriptive format of U.S. GAAP.