International GAAP 2012: Generally Accepted Accounting Practice under International Financial Reporting Standards

Chapter 36

Events after the reporting period

1 Introduction

2 Requirements of IAS 10

2.1 Objective, scope and definitions

2.1.1 Date when financial statements are authorised for issue

2.1.2 Adjusting events

2.1.3 Non-adjusting events

2.2 The treatment of adjusting events

2.2.1 Events requiring adjustment to the amounts recognised, or disclosures, in the financial statements

2.2.2 Events indicating that the going concern basis is not appropriate

2.3 The treatment of non-adjusting events

2.4 Other disclosure requirements

3 Practical Issues

3.1 Valuation of inventory

3.2 Percentage of completion estimates

3.3 Insolvency of a debtor

3.4 Valuation of investment property at fair value and tenant insolvency

3.5 Valuation of investments and fraud

List of examples

Example 36.1: Financial statements required to be approved by shareholders

Example 36.2: Financial statements required to be approved by supervisory board

Example 36.3: Financial statements required to be approved by supervisory board – changes are made by supervisory board

Example 36.4: Release of financial information before date of authorisation for issue

1 Introduction

IAS 10 – Events after the Reporting Period – deals with accounting for, and disclosure of, events after the reporting period, which are defined as ‘those events, favourable and unfavourable, that occur between the end of the reporting period and the date when the financial statements are authorised for issue’. [IAS 10.3]. Therefore, the definition includes ...