Influences of XBRL & IFRS on Business Reporting — Canada

Abstract

This study reviews expediency and influences of extensible Business Reporting Standard in terms of Financial and Business Reporting Value Chain by implying flow of financial information from business operations to internal and external reporting to end user groups of financial reports. Further, identifies influences, the International Accounting Standard Board (IABS) had on extensible Business Reporting Language (xBRL) and the convergence of International Financial Reporting Standards (IFRS). The IASB had an effect on developing a conceptual framework and integrating xRBL into financial reporting standards together with acceptance and enforcement of these standards at global stage. xBRL has revolutionized financial reporting, as it allows corporate financial information to be aggregated, transmitted, and analyzed faster more accurately — Hoffman and Strand 2001. This research study may diverge due to developments in conceptual XBRL extensions by various sources, for example: IFRS taxonomy, and Canadian XBRL. This paper also examines implementation of IFRS taxonomy, and its current status in Canada with regulatory impacts and benefits of XBRL for Canadian companies. These impacts will be discussed by using literature review along with other aspects of XBRL. In fact, Analyses have been done on changes made in financial statement presentation with new concepts on financial performance and financial position that has emerged due to adoption of IFRS and XBRL web based language. These improvements in financial statements together with additional disclosure requirements may perhaps benefit all stakeholders alike. This paper mainly focuses on structural overview of conceptual XBRL extensions, and changes in financial reporting standards — IFRS, with business information systems re-engineering.