Question

Briefly describe some of the similarities and differences between U.S. GAAP and iGAAP with respect to balance sheet reporting.

Answer 1

	Similarities of GAAP and iGAAP (IFRS) are as follows
1	In Both case title allowed to use is “balance sheet” or “statement of financial positions,” although IFRS recommends to use, “statement of financial positions” as title but does not require to use it as the official title.
2	In both cases disclosure regarding accounting policies, judgments made in applying accounting policies , key assumption and estimation uncertainty is same
3	Presentation of non controlling interest in equity section of balance sheet is followed same in both US GAAP and iGAAp (IFRS)
4	For distinguishing current and non current assets and liabilities both US GAAP and I GAAP follows same guidelines.
	Differences between GAAP and iGAAP (IFRS) are as follows
1	Use of term "Reserve" is encouraged under IFRS whereas it is discouraged under GAAP
2	IFRS usually follows liquidity presentation of assets and liabilities whereas in GAAP decreasing order of liquidity.
3	Both uses different terminologies GAAP refers to owner’s equity as “common stock,” IFRS uses “share capital—ordinary”
4	Assets and liabilities must not offset in IFRS except where specifically permitted, in US GAAP offset is permitted.