Gaap accounting standards

Adoption of IFRS-based accounting system is not an option for, but must, why? Because IFRS Convergence is one of the government's agreement as a member of the G20 Forum.

For, generally accepted accounting standards are SFAS (Statement of Financial Accounting Standards) are not yet fully adopted international accounting standards (IFRS). Accounting standards used in still refer to U.S. GAAP (Generally Accepted Accounting United Stated Standard).
With the condition of SFAS Thus, it will be a hindrance and obstacles for companies in the State-Owned Enterprises in entering global markets, especially for State-Owned Enterprises to be a listing on the Stock Exchange for the financial statements are not standardized and can vary diinteprestasikan by potential investors.

Consider this, the ranks of the State Owned Enterprises started doing that still refers to the convergence of U.S. GAAP GAAP to IFRS GAAP-based one that does a proactive collaboration with the Institute of Accountants (IAI) is a line of State Owned Plantations.
Where the purpose of this convergence is that the resulting financial information comparable, easier to conduct competitive analysis, improving the quality of Financial Accounting Standards (IFRSs), enhance the credibility and usefulness of financial reporting, improve financial transparency, lower the cost of capital to the fund-raising opportunities through capital markets as well as the efficiency of the financial statements.

With the convergence of GAAP-based profit IFRS, there is one and the same accounting standards used by the whole country will further encourage investors to enter the stock market, because the quality of the financial statements produced has high credibility,
broader disclosure, financial information that is relevant and accurate and can be compared, and the more important is the financial statement
The internationally accepted and easy to understand.

U.S. GAAP uses the principle of profit / loss of the conservative, while IFRS uses the principle of comprehensive income
Based on U.S. GAAP income statement, there is a difference between income and costs realized from transaction histories that occur in the time period, with the accrual principle, the realization principle and the matching principle that has been recognized by many empirical studies.
But with the economic development, the emergence of multinational companies, development of science and technology, to make the principles in U.S. GAAP is too conservative for evaluating a company's operations and costs historically have been unable to describe the true state of a company's assets.