SUMMARY
PRESENTATION OF FINANCIAL STATEMENTS
INTERNATIONAL
ACCOUNTING
Name
: Angga Ari Puspita
NPM
: 20211847
Class
: 4EB!7
ECONOMY
FACULTY
GUNADARMA
UNIVERSITY
|
Subject
|
- IAS 1
IAS 1 is defeloped for profit
–oriented entities . Entities with not-for-profit activities or public sector entities may apply this standarv ,
profided that appropriate adjustment
are made to particular line item s in
the financial ststements. Entities whose share capital is not classified as
equity (such as mutual fund)nmay also apli IAS 1 provided the member’s
interest is appropriately disclosed.
- Financial Statements
Financial statements are a central
feature of financial reporting – a principal means through which an entity communicates its financial
information to those outside it.
|
|
Object
|
-
Assets
-
Liabilities
-
Equity
-
Income and expenses, including gains
and losses
-
Constributions by and distribution to owner in their capacity as owners ; and
-
Cash flows
|
|
Presentation
|
-Fair
Presentaation and Commpliance with IFRS
In accordance with IFRS, financial
statements should presest fairly the financial position, financial
performance and cash flows of an entity .As stated in IAS 1 ,the application
of IFRS , with additional disclosure when necessary , should result in
financial statements achieving fair presentation.However, in extremely rare
circum satances where management concludes thant compliance with a
requirements in an IFRS would be so
mis leading that it would conflict with objective of financial statements as
set out in the framework requires, or otherwise does not prohibit , such a departure and
the entity discloses all of the following :
1.
Management has concluded that the financial
statements present fairly the entity’s
financial position, financial performance and cash flow.
2.
The entity has complied with all applicable
IFRS,expect that it has departed from a particular requirement to achieve a
fair presentation.
3.
The title of the IFRS from which the entity has
departed, the nature of the departure , including the treatment that the IFRS
would require , the reason why that that treatment wuold so misleading in the
circumstances that it would conflict with the objective of financial
statements set out in the framework , and the treatment adopted.
4.
For each period presented, the financial effect of
the departure on each item in the financial statements that would have been
reported in complying with the requirement.
The entity is required to reduce the
perceived misleading aspects of compliance by disclosing all of the following
:
1.
The title of the IFRS in question, kthe nature of
the requirement, and the reason why management has concluded that complying
with that the requirement is so misleading in the circumstances that it
conflicts with the objective of financial statements as set out in the
framework .
2.
For each period presented, the adjustments to each
item in the financial statements that management has concluded would would be
necessary to achieve a fair presentation.
When assessing whether complying with a specific requirement in an
IFRS would be so misleading that it would conflict with the objective of
financial statements as set out in the Frame work, management should consider the following ;
1.
Why the objective of financial ststements is not
achieved in the particular circumstances.
2.
How the entity’s circumstances differ from those
of other entities that comply with the requirement.
|
|
Measurement
|
The policy
note should begin with a clear statements on the nature of the comprehensive
basis of accounting used. Financial
statement should include clear and disclosure af all significant
accounting policies that have been used in the preparation of those financial
statements .IAs 1 requis an entity to disclose in the summary of significant
accounting policies :
1.
The measurement basis (or bases)used in preparing
the financial statements
2.
The other accounting policies applied that are
relevant to an understanding of the financial ststements.
Measurement bases may include
historical cost , current cost , net realizable value , fair value or
recoverable amount. Othe accounting policies should be disclosed if they
could assist users in understanding how transaction , other event , and
conditions are reported in the financial ststements.
|
|
Recognition
|
In term of recognition associated with the financial ststement ,is based on
accrual basis of accounting. Under the accrual basis of accoullnting , an
entity recognizes the element of the financial statements ( items such as assets,liabilities,income
and expenses) when they meet the definition and recognition crfiteria for
those element in the framework. Consequently, transaction and presented in the
financial ststements in the periods when they occur (and not when cash is
received or paid).
|
