# IFRS or GAAP? **URL:** \ **Category:** In My Humble Opinion\ **Created:** [March 2, 2013, 11:46am UTC](https://boards.straightdope.com/t/ifrs-or-gaap/651813 "2013-03-02T11:46:15Z")\ **Posts on this page:** 15\ **Page:** 1
**Author:** ![Koxinga](https://avatars.discourse-cdn.com/v4/letter/k/4af34b/32.png) [@Koxinga](https://boards.straightdope.com/u/Koxinga)\ **Post date:** [March 2, 2013, 11:46am UTC](https://boards.straightdope.com/t/ifrs-or-gaap/651813/1 "2013-03-02T11:46:15Z")
I know this will be controversial, but honestly now. IFRS or GAAP? ---
**Author:** ![Alessan](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/alessan/32/465_2.png) [@Alessan](https://boards.straightdope.com/u/Alessan)\ **Post date:** [March 2, 2013, 1:48pm UTC](https://boards.straightdope.com/t/ifrs-or-gaap/651813/2 "2013-03-02T13:48:09Z")
IFRS. None of that equivocating “generally accepted” bullshit. ---
**Author:** ![ReticulatingSplines](https://avatars.discourse-cdn.com/v4/letter/r/e274bd/32.png) [@ReticulatingSplines](https://boards.straightdope.com/u/ReticulatingSplines)\ **Post date:** [March 2, 2013, 3:18pm UTC](https://boards.straightdope.com/t/ifrs-or-gaap/651813/3 "2013-03-02T15:18:42Z")
Yeah, IFRS. It’s time to get on board with a single standard. ---
**Author:** ![Dangerosa](https://avatars.discourse-cdn.com/v4/letter/d/22d042/32.png) [@Dangerosa](https://boards.straightdope.com/u/Dangerosa)\ **Post date:** [March 2, 2013, 5:39pm UTC](https://boards.straightdope.com/t/ifrs-or-gaap/651813/4 "2013-03-02T17:39:03Z")
> [@ReticulatingSplines](#): > > Yeah, IFRS. It’s time to get on board with a single standard. Makes life in an international company a lot easier. Nothing going for GAAP except the idea of “American Exceptionalism.” ---
**Author:** ![Mrs.Cake](https://avatars.discourse-cdn.com/v4/letter/m/2acd7d/32.png) [@Mrs.Cake](https://boards.straightdope.com/u/Mrs.Cake)\ **Post date:** [March 2, 2013, 8:23pm UTC](https://boards.straightdope.com/t/ifrs-or-gaap/651813/5 "2013-03-02T20:23:23Z")
But…but… I just finally taught my boss what GAAP means! But for me, IFRS. ---
**Author:** ![desertmonk](https://avatars.discourse-cdn.com/v4/letter/d/898d66/32.png) [@desertmonk](https://boards.straightdope.com/u/desertmonk)\ **Post date:** [March 2, 2013, 10:22pm UTC](https://boards.straightdope.com/t/ifrs-or-gaap/651813/6 "2013-03-02T22:22:33Z")
When I was in school they pronounced it “I-Fers” but at my job they spell it out “I-F-R-S”; which is it? And yes, one standard would be preferred. ---
**Author:** ![Agnostic\_Pagan](https://avatars.discourse-cdn.com/v4/letter/a/c4cdca/32.png) [@Agnostic\_Pagan](https://boards.straightdope.com/u/Agnostic_Pagan)\ **Post date:** [March 2, 2013, 11:42pm UTC](https://boards.straightdope.com/t/ifrs-or-gaap/651813/7 "2013-03-02T23:42:58Z")
> [@ReticulatingSplines](#): > > Yeah, IFRS. It’s time to get on board with a single standard. +2 A global economy with global enterprises requires global standards. Hopefully, the US will convert to metric someday also, but this is good for now. Local taxation and regulations will still give local accountants plenty to do. ---
**Author:** ![gigi](https://avatars.discourse-cdn.com/v4/letter/g/a587f6/32.png) [@gigi](https://boards.straightdope.com/u/gigi)\ **Post date:** [March 3, 2013, 4:56am UTC](https://boards.straightdope.com/t/ifrs-or-gaap/651813/8 "2013-03-03T04:56:00Z")
GAAP, baby. Because that’s what we use at work and I haven’t heard of the other one. :smack: ---
**Author:** ![Koxinga](https://avatars.discourse-cdn.com/v4/letter/k/4af34b/32.png) [@Koxinga](https://boards.straightdope.com/u/Koxinga)\ **Post date:** [March 3, 2013, 5:40am UTC](https://boards.straightdope.com/t/ifrs-or-gaap/651813/9 "2013-03-03T05:40:37Z")
Yeah, but are you _aware_ that GAAP classifies interest expense as an operating cash flow, pure and simple, whereas IFRS lets you, lah dee dah, classify it under _either_ operating _or_ financing cash flows? Can you believe that shit? ---
**Author:** ![the\_diego](https://avatars.discourse-cdn.com/v4/letter/t/7bcc69/32.png) [@the\_diego](https://boards.straightdope.com/u/the_diego)\ **Post date:** [March 7, 2013, 2:16am UTC](https://boards.straightdope.com/t/ifrs-or-gaap/651813/10 "2013-03-07T02:16:09Z")
GAAP does that too for real estate developers. Interest on a development loan need not be expensed out immediately but may be capitalized until the property is sold. ---
**Author:** ![Koxinga](https://avatars.discourse-cdn.com/v4/letter/k/4af34b/32.png) [@Koxinga](https://boards.straightdope.com/u/Koxinga)\ **Post date:** [March 7, 2013, 2:21am UTC](https://boards.straightdope.com/t/ifrs-or-gaap/651813/11 "2013-03-07T02:21:50Z")
But that’s just shifting a portion of interest to the balance sheet, I think; does it impact cash flows? ---
**Author:** ![TriPolar](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/tripolar/32/3008_2.png) [@TriPolar](https://boards.straightdope.com/u/TriPolar)\ **Post date:** [March 7, 2013, 2:25am UTC](https://boards.straightdope.com/t/ifrs-or-gaap/651813/12 "2013-03-07T02:25:15Z")
I went with IFRS because I know someone who doesn’t like it, and I don’t like him. I guess that’s the way everyone chooses. ---
**Author:** ![the\_diego](https://avatars.discourse-cdn.com/v4/letter/t/7bcc69/32.png) [@the\_diego](https://boards.straightdope.com/u/the_diego)\ **Post date:** [March 7, 2013, 2:36am UTC](https://boards.straightdope.com/t/ifrs-or-gaap/651813/13 "2013-03-07T02:36:21Z")
> [@Koxinga](#): > > But that’s just shifting a portion of interest to the balance sheet, I think; does it impact cash flows? Actually no, but it impacts on the bottom line and eps, which are just as important. 😃 ---
**Author:** ![hogarth](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/hogarth/32/1773_2.png) [@hogarth](https://boards.straightdope.com/u/hogarth)\ **Post date:** [March 7, 2013, 4:03am UTC](https://boards.straightdope.com/t/ifrs-or-gaap/651813/14 "2013-03-07T04:03:48Z")
For a while, our group had to track stuff for CAD GAAP, US GAAP and IFRS and other groups had to track those three plus UK GAAP as well! I’ll stick with just IFRS, thanks. ---
**Author:** ![Taomist](https://avatars.discourse-cdn.com/v4/letter/t/53a042/32.png) [@Taomist](https://boards.straightdope.com/u/Taomist)\ **Post date:** [March 7, 2013, 4:15am UTC](https://boards.straightdope.com/t/ifrs-or-gaap/651813/15 "2013-03-07T04:15:08Z")
idk wtf lol