FRF7

Syllabus A3. Regulatory framework 3 / 4

a) Explain why a regulatory framework is needed including the advantages and disadvantages of IFRS over a national regulatory framework.
b) Explain why accounting standards on their own are not a complete regulatory framework.
c) Distinguish between a principles based and a rules based framework and discuss whether they can be complementary.
d) Describe the IASB’s Standard setting process including revisions to and interpretations of Standards.
e) Explain the relationship of national standard setters to the IASB in respect of the standard setting process.
Regulatory framework