Accounting plays a very significant role in the success of any business organization as it helps its users in decision making process related on various issues. Different accounting principles were followed to make the process of accounting just and fair. This caused in formation of different accounting principles for different organizations to gain benefit. To standardize the variance in accounting principles, accounting standards came into existence. Accounting standards are the written documents issued by regulatory bodies which cover various aspects of the accounting. The accounting standards reduce the extent of the variation in the accounting treatments which are used to prepare the financial statements. The International Accounting Standard Board is an organization which regulates the accounting standards which are accepted globally by almost all the countries in the world.