Resume

PSAK 1
Presentation of Financial Statements

Fitria Kemala Dewi

201450246

Nadia Nathania Tjandra

201450263

PSAK 1- Presentation of Financial Statements (Resume)

PURPOSE OF FINANCIAL STATEMENTS

The basics for presentation of general purpose financial statements to ensure comparability
with previous periods and other entities. These financial statements are a structured
representation of the financial position and financial performance of an entity. Objective of
financial statements is to provide information about the financial position, financial
performance, and cash flows of the entity that will benefit the majority of users in making
economic decisions reports.
In order to achieve this objective, financial statements provide information about an entity
that includes:
(a) Assets;
(b) Liabilities;
(c) Equity;
(d) Income and expenses, including gains and losses;
(e) Contributions from and distributions to owners in their capacity as owners; and
(f) Cash flows.
That information, along with other information contained in the notes to the financial
statements, to help users report in predicting future cash flows and, in particular, in terms of
timing and certainty of obtaining cash and cash equivalents.

Definitions
Income is total income, expenses, excluding the components of other comprehensive income.
General purpose financial statements (the "financial statements) is a financial statement that is
intended to meet the common needs of most users report.
Reclassification adjustments are amounts reclassified to profit and loss previously recognized
in other comprehensive income in the current period or prior periods
Financial Accounting Standards (SAK), the Statements and Interpretations issued by the
Financial Accounting Standards Board Accounting Association of Indonesia and capital
market regulations for entities under its supervision.
Not practical, application of a requirement is impractical if the entity cannot apply it after
making every reasonable effort.
Total comprehensive income is the change in equity during a period resulting from
transactions and other events, in addition to the changes resulting from transactions with
owners in their capacity as owners.

COMPONENTS OF COMPLETE FINANCIAL STATEMENTS

Complete financial report consists of the following components:
(a) Statement of financial position at the end of the period;
(b) Statements of income and other comprehensive income for the period
(c) A statement of changes in equity during the period;
(d) The cash flow statement for the period;
(e) Notes to the financial statements, contains a summary of significant accounting policies
and information of other explanations; and
(f) Comparative information to comply with the previous period as specified in paragraphs 38
and 38A.
(g) Statement of financial position at the beginning of the previous comparative period
presented when an entity applies an accounting policy retrospectively or to make posts
restatement of financial statements, or when the entity reclassifies items in its financial
statements in accordance with paragraphs 40A-40D.

GENERAL CHARACTERISTICS
Presentation in Fair and Compliance with SAK.
The financial statements present fairly the financial position, financial performance and cash
flows of an entity. A fair presentation requires the honest presentation of transactions, other
events and conditions in accordance with the definitions and recognition criteria for assets,
liabilities, income and expenses set out in the framework for the preparation and presentation
of financial statements.
An entity cannot rectify inappropriate accounting policies either by disclosure of the
accounting policies used or disclosure in the notes to the financial statements or explanatory
material.
Accrual basis

Entities prepare financial statements on the accrual basis, except for statements of cash
flows.
When the accrual basis of accounting is used, an entity recognizes items as an asset, a
liability, equity, income and expenses (the elements of financial statements) when
these posts meet the definition and recognition criteria for the elements mentioned in
the Framework for the Preparation and Presentation of Financial Statements.

Materiality and Aggregation

Entity present separately the postal group similar material. Entity presents separately
post that has a different nature or function unless the post is immaterial.

The financial statements are the result of processing a number of transactions or other
events that are classified according to the nature or function. The final stage of the
process of merging and classification is the presentation in the financial statements. If
a post classification is not material, it can be combined with other similar posts in the
financial statements or in the notes to the financial statements. An item may not be
enough material to be presented separately in the financial statements but enough
material to be presented separately in the notes to the financial statements.

Mutual Remove
Entities shall not mutually remove the assets and liabilities or income and expenses, unless
required or permitted by PSAK.

Comparative Information

Quantitative information disclosed comparatively to the previous period for all

amounts reported in the financial statements of the current period, unless otherwise
stated by the SAK. Comparative information and descriptive narrative of prior year
financial statements disclosed returned if it is relevant to understanding the financial
statements of the current period.
If an entity changes the presentation or classification of items in the financial
statements, it shall reclassify comparative amounts unless reclassification is
impracticable to do. If the entity reclassifies comparative amounts, the entity shall
disclose:
(a) The nature of the reclassification;
(b) The amount of each item or a combination of several posts that were reclassified;
and
(c) The reason for the reclassification.

If reclassifying comparative amounts is impractical, it shall disclose:

(a) The reason not reclassify that amount, and
(b) The nature of the adjustments will be made if the amount reclassified

Consistency of Presentation

Presentation and classification of items in the financial statements should be consistent

from period to period unless:

(a) After a significant change to the nature of the entity's operations or a review of the
financial statements, it appears clearly that another presentation or classification would be
more appropriate for use by considering the criteria for the determination and application of
accounting policies in PSAK 25; or
(b) The change is allowed by PSAK.

Minimum Comparative Information 38,38A, 38B

Entity presents comparative information related to the previous period for all amounts
reported in the financial statements of the current period, unless permitted or other
required by SAK.
Comparative information and descriptive narrative of prior year financial statements
disclosed if it is relevant to understanding the financial statements of the current
period.
Entity presents a minimum, two statements of financial position, two statements of
income and other comprehensive income, two separate income statement (if
presented), two statements of cash flows and two statements of changes in equity and
related notes to the financial statements.
In some cases, narrative information presented in the financial statements for the
previous period are still relevant in the current period.

Additional Comparative Information

Entity may present comparative information in addition to the minimum comparative

financial statements required by PSAK/ISAK, all the information is prepared in
accordance with PSAK/ISAK.
This comparative information may contain one or more comprise the financial
statements, but does not consist of complete financial statements.
When this happens, the entity presents the information note relating to the
supplementary report.
For example, an entity can present three statements of income and other
comprehensive income (thus presenting the current period, the previous period, and an
additional comparative period).
The entity is not required to present three statements of financial position, statement of
cash flows three, or three changes in equity (ie additional comparative financial
statements). Entities required to present, in the notes to the financial statements, the
comparative information related to the additional report on the statement of income
and other comprehensive income.

Statements of Financial Position (Balance Sheet)

Changes in the definition of such liabilities becomes liabilities and minority rights
becomes non-controlling interests.
Presentation of non-controlling interests as part of equity and net income rather than
as a deduction from earnings Consolidated Financial Statement
Presentation of balance sheet minimum line item for the value of the material
presented separately, however if the material is not described in the group but still
there is a separate explanation.

Statement of Financial Position

Minimal information presented in the financial statements can be added if they are
relevant additions.
Presentation of the line itself or in the notes depends on the materiality of the
information.
Differentiation current and non- current assets and liabilities are short-term and longterm
Deferred tax should not be classified as short-term.