ACCOUNTING STANDARDS AND GUIDELINES

The practice of Accountancy worldwide is governed by sets of rules and guidelines. These rules and guidelines are compiled into standards. There are two sets of standards governing the Accounting practice in Nigeria.

They are:
a. International Standards:
(i) IAS: International Accounting Standards
(ii) SIC: Standing Interpretations Committee

b. Local Standards:
(i) SAS: Statement of Accounting Standards
(ii) AG: Auditing Guidelines

(1) INTERNATIONAL ACCOUNTING STANDARDS (IAS)

Each standard discusses the Accounting treatment of a particular item or group of items. The following are the cost of the available standards:

IAS 1 - Presentation of Financial Statement
IAS 2 - Inventories
IAS 3 - (Superseded by IAS 27 and IAS 28)
IAS 4 - (Superseded by IAS 16, IAS 22 and IAS 38)
IAS 5 - (Superseded by IAS 1)
IAS 6 - (Superseded by IAS 15)
IAS 7 - Cash flow Statements
IAS 8 - Net profit or loss for the Period, Fundamental Errors and changes in Accounting Policies.
IAS 9 - (Superseded by IAS 38)
IAS 10 - Events after the Balance Sheet date
IAS 11 - Construction Contracts
IAS 12 - Income Taxes
IAS 13 - (Superseded by IAS 1)
IAS 14 - Segment Reporting
IAS 15 - Information Reflecting the Effects of Changing Prices
IAS 16 - Property, Plant and Equipment.
IAS 17 - Leases
IAS 18 - Revenue
IAS 19 - Employee Benefits
IAS 20 - Accounting for Government Grants and Disclosure of Government Assistance
IAS 21 - The Effects of Changes on Foreign Exchange in Rates
IAS 22 - Business Combinations
IAS 23 - Borrowing Costs
IAS 24 - Related Party Disclosures
IAS 25 - (superseded by IAS 39 and IAS 40)
IAS 26 - Accounting and Reporting by Retirement benefit Plans
IAS 27 - Consolidated Financial Statements and Accounting for Investments in Subsidiaries
IAS 28 - Accounting for Investments in Associates
IAS 29 - Financial Reporting in Hyperinflationary Economics
IAS 30 - Disclosures in the Financial Statements of Bank and Similar Financial Institutions
IAS 31 - Financial Reporting of Interests in Joint Ventures
IAS 32 - Financial Instruments: Disclosure and Presentation
IAS 33 - Earnings Per Share
IAS 34 - Interim Financial Reporting
IAS 35 - Discontinuing Operations
IAS 36 - Impairment of Assets
IAS 37 - Provisions, Contingent Liabilities and Contingent Assets
IAS 38 - Intangible Assets
IAS 39 - Financial Instruments: Recognition and Measurement
IAS 40 - Investment property
IAS 41 - Agriculture (effective January 1, 2003)

 

(2) STANDING INTERPRETATIONS COMMITTEE (SIC)

These contain the interpretations of International Accounting Standards.

The Following are available:

SIC 1 - Consistency - Different cost formulas for inventories (IAS 2)
SIC 2 - Consistency - Capitalisation of Borrowing Costs (IAS 23)
SIC 3 - Elimination of Unrealised Profits and Losses on Transactions with Associates (IAS 28)
SIC 5 - Classification of Financial Instruments Contingent Settlement Provisions (IAS32)
SIC 6 - Costs of Modifying Business Software (Framework)
SIC 7 - Introduction of the Euro (IAS 21)
SIC 8 - First-Time Application of IAS as the Primary Basis of Accounting (IAS 1)
SIC 9 - Business Combinations - Classification either as Acquisitions or Uniting of Interests (IAS 22)
SIC 10 - Government Assistance No specific Relation to Operating Activities (IAS 20)
SIC 11 - Foreign Exchange - Capitalisation of Losses Resulting from Severe Currency Devaluations (IAS 21)
SIC 12 - Consolidation - Special Purpose Entities (IAS 27)
SIC 13 - Jointly controlled Entities - Non-Monetary Contributions by Ventures (IAS 31)
SIC 14 - Property, Plant and Equipment or Loss of Items (IAS 16)
SIC 15 - Operating leases - Incentives (IAS 17)
SIC 16 - Share Capital - Reacquired own Equity Instruments (Treasury Shares) IAS 32
SIC 17 - Equity - Costs of an Equity Transaction (IAS 32)
SIC 18 - Consistency - Alternative Methods (IAS 1)
SIC 19 - Reporting Currency - Measurement and Presentation of Financial Statements under (IAS 21 and IAS 29)
SIC 20 - Equity Accounting Methods - Recognition of Losses (IAS 27)
SIC 21 - Income Taxes - Recovery of Revalue Combinations- Subsequent Adjustment of fair Values and Goodwill Initially Reported (IAS 22)
SIC 22 - Business combinations- Subsequent adjustments of fair values and goodwill initially reported (IAS 22)
SIC 23 - Property, Plant and Equipment - Major Inspection or overhaul Costs (IAS 16)
SIC 24 - Earnings per share - financial Instruments and other contract that may be settled in shares (IAS 33)
SIC 25 - Income Taxes - changes in the Tax status of an enterprise or it's shareholders (IAS 12)

Note:

 

  
No SIC Interpretation was issued as SIC 4. Draft interpretation SIC D4,

Classification of Financial Instruments Issuer's settlement option, was withdrawn.

 

(3) STATEMENT OF ACCOUNTING STANDARDS

These are the publications of Nigerian Accounting Standards Board (NASB). The following are available:

SAS 1 - Disclosure of Accounting Policies
SAS 2 - Information to be disclosed in Financial Statements
SAS 3 - Accounting for Property, Plant and Equipment
SAS 4 - Stocks
SAS 5 - Construction Contracts
SAS 6 - Extraordinary items and Prior Year Adjustments.
SAS 7 - Foreign Currency Conversions and Translations
SAS 8 - Accounting for Employees' Retirement Benefits
SAS 9 - Accounting for Depreciation
SAS 10 - Accounting by Banks and Non-Bank Financial Institutions (Part I)
SAS 11 - Leases
SAS 12 - Accounting for Deferred Taxes
SAS 13 - Accounting for Investments
SAS 14 - Accounting in the Petroleum Industry: Upstream Activities
SAS 15 - Accounting by Banks and Non-Bank Financial Institutions (Part II)
SAS 16 - Accounting for Insurance Business
SAS 17 - Accounting in the Petroleum Industry: Downstream Activities
SAS 18 - Statement of Cash Flows

 

(4) AUDITING STANDARDS AND GUIDELINES (AG)

These are the publications of Auditing Standards Committee (ASC) of ICAN. The following are available:

AG 1 - Auditing Guideline on Engagement Letters
AG 2 - Auditing Guideline: Prospectus and Reporting Accountant

Check the list of the ICAN publications and saleable items for prices.

1. June 22, 2005:

LAGOS

Current issues in retirement and pensions planning
2. July 27, 2005 LAGOS Corporate fraud prevention and detection
3. September 7, 2005 LAGOS Outsourcing as an efficient economic growth agent
4. October 26, 2005 LAGOS eCommerce
5. November 23, 2005

LAGOS

 Human capital accounting