CHAPTER SEVEN

New presentation formats

AS WITH CHANGES IN IFRS, new forms of financial statement presentation can arise, as this section will show.

7.1 MODEL FINANCIAL STATEMENTS

All the large accounting firms provide model financial statements for an easy way to start implementing IFRS. In fact, when the first IFRS XBRL taxonomy was developed, it was based on a summative comparison of the various model financial statements available at the time. That way, best practice for presenting financial information using IFRS could be captured.

It is noteworthy that financial statements must be prepared in accordance with IFRS, as well as with the specific requirements of the reporting entity, such as whether an entity is a first-time user of IFRS (if so, see IFRS 1 First-time Adoption of International Financial Reporting Standards). Or consider the possible need for consolidation of several entities (as per of IAS 27 Consolidated and Separate Financial Statements). Similarly, accounting professionals who are charged with the preparation of final statements will take into account the suitability of IFRS to particular jurisdictions as can be affected by local laws and regulations.

As will become apparent, disclosure requirements will vary, as can the related statements of financial position, and so on. Of course, to aid related comparisons over time, there must be consistency in applying the same principles, such as to the preferred form of presentation.

For model financial statements, ...

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