APICS Certified Supply Chain Professional (CSCP) — Question 401

In order to simplify comparison of accounts among international users, global trade has resulted in the development of which of the following regulations?

Answer options

• A. G4 Sustainability Reporting Guidelines
• B. International Financial Reporting Standards (IFRS)
• C. International Organization for Standardization (ISO)
• D. Generally accepted accounting principles (GAAP)

Correct answer: B

Explanation

The correct answer is B, International Financial Reporting Standards (IFRS), as these standards are designed to create a common accounting language for global financial reporting. Options A, C, and D do not specifically address the need for international account comparison; GAAP is region-specific to the United States, while G4 and ISO relate to sustainability and standardization respectively.