Particulars | IFRS | US GAAP | Indian GAAP |
Depreciation | Allocated on a systematic basis to each accounting period over the useful life of the asset. | Similar to IFRS. | Similar to IFRS, except where the useful life is shorter as envisaged under the Companies Act or the relevant statute, the depreciation is computed by applying a higher rate |
Interest expenses | Recognised on an accrual basis using the effective interest method. | Similar to IFRS. | Recognised on an accrual basis; practice varies with respect to recognition of discounts and premiums. |
Employee benefits: pension costs- defined benefit plans | Projected unit credit method is used to determine benefit obligation and record plan assets at fair value. Actuarial gains and losses can be deferred. | Similar to IFRS but with several areas of differences in the detailed application. | With the. adoption of to AS 15 (revised), similar to IFRS, although several differences in detail. Eg, actuarial gains and losses are recognised upfront in the income statement. |
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