(Answer length - approximately 100 words)

From January 2005, Australia has adopted the accounting standards issued by the International Accounting Standard Board (IASB). As a result, the role and functions of the Australian Accounting Standards Board (AASB) has changed since 2005.

Required:

Given the current role of the AASB, do you think that the AASB should be removed and Australian companies should simply follow the IASB standards? Provide two justifications to support your answer. (4 Marks)