IFRS 3 has been developed in order to require a methodology for accounting for business combinations that provides users with the most useful information about those kind of transactions. A business combination is the bringing together of separate entities or businesses into one reporting entity. All business combinations are accounted for by applying the purchase method, which views the business combination from the perspective of the acquirer. An important aspect has been to converge the requirements of IFRS relating to business combinations as closely as possible with those of US GAAP but differences still exist. It is hoped that the remaining differences will be eliminated in the future.