CFA® Program exam: 5 differences between IFRS vs US GAAP

In this series of revision posts, we ask your AB Maximus CFA® Program exam trainers to give you quick tips and essential advice for different chapters in the curriculum. Handy for revision or simply for a last minute review to make sure you’re thoroughly prepared – don't miss the chance to brush up on your knowledge and do a little extra prep!

Financial Reporting and Analysis is a critical topic in CFA® Program exam. According to the CFA Institute, a candidate’s score on the FRA segment usually predicts whether they pass or fail the whole exam.

A key concept is the accounting method choices and differences between IFRS and U.S. GAAP affect the reported results for companies, why there are differences, and how to adjust for them.

This post takes you through 5 key similarities and differences:

About the Author

Darren Degraaf, CFA, CPA, MBA, MAFM, PRM, is the revision expert in AB Maximus' CFA® Program exam prep course. He is currently adjunct professor of the Sauder School of Business in the University of British Columbia and director of Instructional Management for the Stalla Review for the CFA Exams Division of DeVry University. Before an international career in CFA® Program exam prep, he worked in HSBC for almost 20 years.