Dark Aspects of Britain Accountancy Methodologies
Andy Haldane today warned the IFRS bureau by saying that , it don’t looks awkward if we say that the rules and regulations of Britain’s accountancy is getting hollow or misplaced so when it is a matter of finding the facts and accuracy about the bank’s capital then it equally seems as “pointing a tail on a clamorous ass”. Well, it is not a game, but, it is not bad to say that IFRS is acting like playing a game with accounting.
Mr Halden is working as an executive director of finance stable department in Bank of England, he described about the IFRS (International Financial Reporting Standards), that it has now set up the new methods and strategies for accountancy standards that are proving like an inconsistent terms about the bank’s clarifications towards its debts. It needs some more improvements as it is still presenting the assuming figures that are not looking accurate.
Mr Haldane is arguing in a magazine named “Economia”, and intentionally tending the IFRS bureau to introduce and set up the new accounting methodology that can enhance the chances and can encourage the investors and organizers to overcome their losses and can deal with risks.
Mr Haldane wrote that the banks are separate entity and its capricious liabilities, assets, and penalties are specifically structured for easily breakable mixtures of terms. If it is difficult to find the accurate reality about them then the previous events in accountancy tell us the facts and draw an actual picture. The new and improved methodology of financial statements would definitely help investors if applied in order to keep and overcome the financial risks.
The basic accountancy methodology and rules that is necessary to regulate the financial flow of assets and liabilities should be applied to specify the identical characteristics of IFRS, but this time it is not properly applied in newly introduced methodology.
So the current methodology in IFRS, it is actually a situation of “pointing a tail on boisterous donkey”, as it can’t be portrait the real picture of bank’s assets to prone its solvent position.