When should a reporting entity recognise events after the reporting period in the financial statements that are being finalised?
What are the disclosures that should be given about the date when the financial statements were authorised for issue and about the events after the reporting date?
The answers look a bit colorful but are spot on and short……
The three important terms were it is all about are:
- Events after the reporting period are 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.
- Adjusting events are events occurring after the reporting date that provide evidence of conditions that existed at the end of