There is a need for standard setters with sound technical expertise. Such expertise may not be available in developing economies or, if available, such expertise may be considered to be more productive if used elsewhere. 5.4 Quality vs. quantity. Accounting standard-setting framework should concentrate on quality, timeliness, reducing the permitted options and promoting compliance as opposed to attempting to produce a large volume of standards which attempt to cover every option. Another important issue relating to quality involves the question of securing compliance with the accounting standards.
Compliance involves both disclosure and measurement.
Verification of compliance requires technical expertise. At present, the Office of the Registrar of companies can only ensure compliance with disclosure requirements. The findings of the review panel should be able to spell out what revisions to the financial statements or what additional information it considered should be made to users to provide an acceptable set of financial statements giving a true and fair view and to promote quality of financial reports. 5.5 Small Companies. With the increasing number of accounting standards, owners of these private owner-managed entities believe that their companies should be exempted from the requirements of certain standards, which are unduly burdensome and should apply to public listed companies only.