ALL 12 CHAPTERS COVERED
, CHAPTER 1:
Conceptual and
Case Analysis
Frameworks for
Financial
Reporting
Prepared by
Shannon Butler, CPA, CA
© 2022 McGraw Hill Limited Carleton University
, Learning Objectives
LO1 Describe and apply the conceptual framework for
financial reporting.
LO2 Describe how accounting standards in Canada are
tailored to different types of organizations.
LO3 Identify some of the differences between
IFRS and ASPE.
LO4 Analyze and interpret financial statements to
assess the impact of different accounting
methods on key financial statement ratios.
LO5 (Appendix 1A) Apply the case analysis framework to
solve accounting and reporting issues.
© 2022 McGraw Hill Limited 2
, The Conceptual Framework
for Financial Reporting, Part 1
➢ Financial statements should cater to the needs of the users.
➢ The CPA Canada Handbook (Handbook):
➢ is an authoritative document in Canada because many legal
statutes require its use.
➢ provides the accounting and reporting requirements as well as
explanations and guidance for most transactions and events
encountered by an entity.
➢ When a transaction or event is not explicitly addressed by the
standards, an entity can look to “The Conceptual Framework for
Financial Reporting”. This document is in the first section of the
Handbook.
© 2022 McGraw Hill Limited 3
, CHAPTER 1:
Conceptual and
Case Analysis
Frameworks for
Financial
Reporting
Prepared by
Shannon Butler, CPA, CA
© 2022 McGraw Hill Limited Carleton University
, Learning Objectives
LO1 Describe and apply the conceptual framework for
financial reporting.
LO2 Describe how accounting standards in Canada are
tailored to different types of organizations.
LO3 Identify some of the differences between
IFRS and ASPE.
LO4 Analyze and interpret financial statements to
assess the impact of different accounting
methods on key financial statement ratios.
LO5 (Appendix 1A) Apply the case analysis framework to
solve accounting and reporting issues.
© 2022 McGraw Hill Limited 2
, The Conceptual Framework
for Financial Reporting, Part 1
➢ Financial statements should cater to the needs of the users.
➢ The CPA Canada Handbook (Handbook):
➢ is an authoritative document in Canada because many legal
statutes require its use.
➢ provides the accounting and reporting requirements as well as
explanations and guidance for most transactions and events
encountered by an entity.
➢ When a transaction or event is not explicitly addressed by the
standards, an entity can look to “The Conceptual Framework for
Financial Reporting”. This document is in the first section of the
Handbook.
© 2022 McGraw Hill Limited 3
