Accounting Conceptual Framework
Exposure Draft
Conceptual Framework for Financial Reporting by Islamic Financial Institutions
This exposure draft (ED) is published by the Accounting and Auditing Organisation for Islamic Financial Institutions (AAOIFI) for comment only. The ED may be modified in the light of the comments received before being issued as a final accounting standard. AAOIFI, its committees, the authors and the publishers do not accept responsibility for loss caused to any person who acts or refrains from acting in reliance on the material in this publication, whether such loss is caused by negligence or otherwise.
Table of Contents 1 Introduction .................................................................................................................. 1 1.1 Rationale................................................................................................................ 1 1.2 The importance of establishing the Conceptual Framework ................................. 2 1.3 The approach used in developing the Conceptual Framework ............................. 2 1.4 Users of financial information ................................................................................ 2 1.5 Common information needs of users of financial reports who do not have the authority or ability to obtain additional information from the entity .................................. 3 2 Authoritative Status of the Framework ........................................................................ 4 3 Objectives of Financial Accounting and Financial Reports for IFIs ............................. 5 3.1 Objectives of financial accounting ......................................................................... 5 3.2 Objectives of financial reports ............................................................................... 5 4. Limitations.............................................................................................................. 6 4.1 Limitations of information provided by
Conceptual Framework for Financial Reporting by Islamic Financial Institutions
This exposure draft (ED) is published by the Accounting and Auditing Organisation for Islamic Financial Institutions (AAOIFI) for comment only. The ED may be modified in the light of the comments received before being issued as a final accounting standard. AAOIFI, its committees, the authors and the publishers do not accept responsibility for loss caused to any person who acts or refrains from acting in reliance on the material in this publication, whether such loss is caused by negligence or otherwise.
Table of Contents 1 Introduction .................................................................................................................. 1 1.1 Rationale................................................................................................................ 1 1.2 The importance of establishing the Conceptual Framework ................................. 2 1.3 The approach used in developing the Conceptual Framework ............................. 2 1.4 Users of financial information ................................................................................ 2 1.5 Common information needs of users of financial reports who do not have the authority or ability to obtain additional information from the entity .................................. 3 2 Authoritative Status of the Framework ........................................................................ 4 3 Objectives of Financial Accounting and Financial Reports for IFIs ............................. 5 3.1 Objectives of financial accounting ......................................................................... 5 3.2 Objectives of financial reports ............................................................................... 5 4. Limitations.............................................................................................................. 6 4.1 Limitations of information provided by