comp_sci_kid

remember, with IFRS and GAAP...if you ever have no clue:

In general, IFRS is more liberal/logical;

-Recovery of impairments/write-downs is usually permitted
-Allows partial goodwill (and full goodwill)
-Allows proportionate consolidation (and equity method)
-More freedom classifying Interest Received/Dividends Received/Interest Paid on CFS
-QSPE's not allowed (nor does GAAP anymore - since it is essentially off B/S financing)
-LIFO inventory method not allowed (since people abuse it for tax benefits)
-Inventory valued at min(cost, NRV)

GAAP is usually really strict, and makes things more complicated than they need to be;

-Test for impairment involves two steps instead of one
-Operating leases need to meet 1 of 4 criteria to be a finance lease
-Recovery from impairment/write-downs is usually not permitted
-Inventory valued at min (cost, market) where market = recoverable amount where recoverable amount must be > (NRV - % profit margin) but < (NRV)