4. General Requirements for Financial Statements

d. describe general requirements for financial statements under International Financial Reporting Standards (IFRS);

What does IAS stand for? International Accounting Standards

What are the three objectives of IAS (International Accounting Standards) No. 1? 1. To prescribe the basis for general purpose financial statements 2. To ensure backwards comparability with previous financial statements from this company 3. To ensure comparability with the financial statements of other entities

What are the five components of complete financial statements? 1. Balance sheet 2. Income statement 3. Statement of changes in equity 4. Cash flow statement 5. Notes, comprising a summary of significant accounting policies and other explanatory notes

What are the five underlying principles of financial statement preparation? 1. Fair presentation 2. A business is presumed to be a going concern 3. Accrual basis 4. Consistency from one period to the next 5. Materiality and Aggregation