Information about other business activities and operating segments that are not reportable shall be combined and disclosed in an “all other segments” category separately from other reconciling items in the reconciliations from operating segments to totals recognised in the main statements of the Financial Statements. The sources of revenue included in the “all other segments” category shall be disclosed.… Continue reading
Two clear limitations to the information provided by a general purpose financial report are materiality and cost.
Or more formally: Qualitative Characteristics of Useful Financial Information
What types of information are useful to users for making decisions about the reporting entity using the general purpose financial report compiled by the reporting entity. And equally important what are the cost constraints on the reporting entity’s ability to provide useful financial information.
Some information will be more important than other information and some more important information will be easily maintained, collected and reported and other more important information will … Continue reading
The Objective of General Purpose Financial Reporting is the basis of the Conceptual Framework.
In addition the 2018 revised Conceptual Framework sets out:
- the qualitative characteristics of useful financial information;
- a description of the reporting entity and its boundary;
- definitions of an asset, a liability, equity, income and expenses and guidance supporting these definitions;
- criteria for including assets and liabilities in financial statements (recognition) and guidance on when to remove them (derecognition);
- measurement bases and guidance on