Accrual basis of accounting is the only acceptable method for external reporting of financial statements under both ASPE and IFRS.
BT: Knowledge

Question

Quizplus · Accepted Answer

The accrual basis of accounting is indeed the only acceptable method for external reporting of financial statements under both ASPE (Accounting Standards for Private Enterprises) and IFRS (International Financial Reporting Standards). This basis of accounting requires the recognition of transactions and events in the financial statements when they occur, rather than when the cash is received or paid. This provides a more accurate representation of an entity's financial performance and position.

Accrual Basis of Accounting Is the Only Acceptable Method for External