• paul of Others

    Overall considerations for financial statements: 
    Fair presentation, accounting policies, going concern, accrual basis of accounting, consistency of presentation, materiality, and aggregation, offsetting and comparative information

    Four basic financial statements:

    1. Balance sheet (the current/noncurrent distinction is not required)
    2. Income statement (operating/nonoperating separation is required)
    3. Cash flow statement
    4. Statement showing changes in equity. Various formats are allowed. This statement shows: 

    (a) each item of income and expense, gain or loss, which is recognised directly in equity, and the total of these items, certain foreign currency translation gains and losses, and changes in fair values of financial instruments; and

    (b) net profit or loss for the period, but no total of (a) and (b). Owners' investments and withdrawals of capital and other movements in retained earnings and equity capital are shown in the notes.