Accounting for IGCSE & O level - Advanced Principles (Section 7 - No. 35)
What is the primary purpose of international accounting standards?
To eliminate all differences in accounting practices globally.
To improve the comparability, reliability, and understandability of financial statements.
To mandate the use of specific accounting software.
To dictate financial performance to all businesses.
Explanation
International accounting standards aims to improve the ability to understand financial statements from different companies.