International Financial Reporting Standards (IFRS) must be followed when managerial accounting reports are prepared.

Question

Quizplus · Accepted Answer

IFRS is a set of accounting standards for external financial reporting, while managerial accounting reports are prepared for internal use and therefore do not need to follow the IFRS standards. However, they should follow generally accepted accounting principles (GAAP) and be consistent with the company's financial statements prepared under IFRS or other applicable standards.

International Financial Reporting Standards (IFRS) Must Be Followed When Managerial