Ind AS 10 - Events after the Reporting Period

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What does Ind AS 1 require an entity to disclose in relation to the going concern basis?

Distribution of non-cash assets to owners

Events after the reporting period

Reasons for not following the going concern basis (correct)

Disclosure of financial statements prepared on a going concern basis

Which standard requires disclosure if the going concern assumption is not followed?

Events after the reporting period

Existing AS 4

Ind AS 1 (correct)

Ind AS 10

What is considered an adjusting event in the context of breach of a material provision of a long-term loan arrangement?

Recognition of dividends payable to owners

Preparation of financial statements on a going concern basis

Disclosure of non-cash assets distribution

Agreement to waive the breach by the lender before approval of financial statements (correct)

'Distribution of Non-cash Assets to Owners' is dealt with in which part of Ind AS 10?

Appendix Signup and view all the answers

What type of event triggers the consideration of an adjusting event according to Ind AS 10?

Breach of a material provision on a long-term loan arrangement Signup and view all the answers

'Existing AS 4' does not require disclosure related to what aspect?

'Distribution of Non-cash Assets to Owners' Signup and view all the answers

What is the main objective of Ind AS 10?

To prescribe when an entity should adjust financial statements for events after the reporting period. Signup and view all the answers

When are events considered 'after the reporting period' according to Ind AS 10?

Both favourable and unfavourable events occurring between the end of the reporting period and the date of financial statements approval. Signup and view all the answers

How does Ind AS 10 categorize events after the reporting period?

As adjusting events and nonadjusting events. Signup and view all the answers

What is the key purpose of disclosing information about events after the reporting period?

To provide transparency and clarity to users of financial statements. Signup and view all the answers

Which authority approves financial statements in a company, according to Ind AS 10?

Board of Directors Signup and view all the answers

What does Ind AS 10 provide examples of, regarding implementing the Standard?

Examples of adjusting and nonadjusting events. Signup and view all the answers

What is the main objective of Ind AS 10 regarding events after the reporting period?

To disclose events after the reporting period that impact the going concern assumption. Signup and view all the answers

When should an entity adjust its financial statements according to Ind AS 10?

For events that occur after the reporting period. Signup and view all the answers

What is required in terms of disclosure regarding events after the reporting period according to Ind AS 10?

Disclose all events, favourable and unfavourable, that occur after the reporting period. Signup and view all the answers

If events after the reporting period lead to a conclusion that the going concern assumption is not appropriate, what does Ind AS 10 require?

The entity should not prepare financial statements on a going concern basis. Signup and view all the answers

Who needs to approve the financial statements for issue as per Ind AS 10?

The Board of Directors in case of a company. Signup and view all the answers

In what timeframe should adjustments be made to financial statements according to Ind AS 10?

After the reporting period. Signup and view all the answers