consultation letter

13th October 2009

Certified Public Accountant

Smith and sons

423 Pitt Street

Knowledgebank , NSW

Dear Ian

RE : Consultation Letter on AASB accounting treatment on Share options in Lieu of

cash bonus payments and Superannuation

The AASB is and Australian body which is entrusted with the development and maintenance of the accounting standards of the Australian economy The board of ASSB 's is vested the task of coming up with the AASB and as well as maintaining the body of the set accounting Standards of Australia

The

board and the Public Sector Accounting Standards Board unite together in drafting the accounting Standards of Australia and before the year 2000 they only developed standards that fall in the category of entities under the Corporation law and the Australian Accounting Standards . The recent Accounting Standards after 2000 relate to all types of entities , though with time other standards are being replaced because of the obsolescence

The management of the AASB has the sole purpose of making sure that the financial reports are made in such a way that they follow the International Accounting Standards Board . These Standards have evolved since the inception of time but the key ones which have been created since year 2005 include the AASB standards that apply to certain types of entities , the equivalents to IASB standards and the AASB standards that support the Australian equivalence to IASB standards

The AASB treatment for bonus issue is clear in its terms . Entities with the obligation of law can either be...