IFRS requires the use of accrual accounting.

Question

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IFRS (International Financial Reporting Standards) mandates that companies use accrual accounting to recognize revenues and expenses in their financial statements. Accrual accounting recognizes transactions when they occur, rather than when cash is received or paid out. This provides a more accurate picture of a company's financial health and performance, as it takes into account all the economic activities that have occurred.

IFRS Requires the Use of Accrual Accounting