What are the expectations for the Generally Accepted Accounting Practices (GAAP) in China?

The 2014 Generally Accepted Accounting Practices (GAAP) is expected to be adopted by all medium and large-sized enterprises across Mainland China. The new PRC GAAP consists of:

• One basic standard providing guidance on practical issues
• 41 specific standards dealing with specific transactions or events within an enterprise
• One Interpretation Guide for the PRC GAAP regarding improvements on the ongoing convergence with the International Financial Reporting Standards (IFRS)
• China Accounting Standards (CAS) Bulletins and other supplementary regulations dealing with questions on how to implement the new PRC GAAP