CS Executive · Corporate Accounting and Financial Management · Accounting Standards
While formulating Accounting Standards, the ASB takes into consideration certain factors prevailing in India. Which set below matches the Preface?
The ASB considers the applicable laws, customs, usages and business environment prevailing in India when formulating Accounting Standards. It does not rely solely on international practices, big companies' views or tax law, so Indian conditions shape the standards.
- AApplicable laws, customs, usages and business environmentCorrect
- BOnly international practices followed by the IASB
- COnly the preferences of the largest listed companies
- DOnly the tax laws in force during the year
Explanation
The Preface says the ASB will take into consideration the applicable laws, customs, usages and business environment prevailing in India. It is not limited to international practice, large companies or tax law alone.
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