Академический Документы
Профессиональный Документы
Культура Документы
Objectives
• Understand the nature, purpose and objective of
financial statements
Source:
https://cdn.lynda.com/course/441605/441605-
636269220092757522-16x9.jpg
Date of access:
10/5/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Objectives
• Enumerate and explain the general features of the Insert for every slide at least one
financial statements photo related to the concept being
discussed in the slide. Dedicate this
• Define the elements of financial statements space for the image.
Course Outline
1.1. Definition of financial statements
Course Outline
1.7. General features of financial statements
Source:
https://www.accountingweb.com/sites/default/files/st
yles/banner/public/financial_statement_ivsigns.jpg?i
tok=ylGeWfhT
Date of access:
10/5/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Source: https://www.smythretail.com/wp-
content/uploads/2012/05/general_ledger_250.jpg
Date of access:
10/7/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Source:
https://www.youngclausco.com/static/images/busine
ss-financial-statements.jpg
Date of access:
10/6/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Source:
https://www.youngclausco.com/static/images/busine
ss-financial-statements.jpg
Date of access:
10/6/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Source:
https://www.youngclausco.com/static/images/busine
ss-financial-statements.jpg
Date of access:
10/6/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Source:
https://www.youngclausco.com/static/images/busine
ss-financial-statements.jpg
Date of access:
10/6/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Source:
https://www.youngclausco.com/static/images/busine
ss-financial-statements.jpg
Date of access:
10/6/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Source:
https://www.youngclausco.com/static/images/busine
ss-financial-statements.jpg
Date of access:
10/6/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Source: https://cdn2.hubspot.net/hub/23667/file-
2658001994-jpg/management.jpg
Date of access:
10/6/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Accountability of management
Source: https://cdn2.hubspot.net/hub/23667/file-
2658001994-jpg/management.jpg
Date of access:
10/6/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
2. Going concern
3. Accrual basis
Source:
https://blogs.cfainstitute.org/marketintegrity/files/201
4/01/Financial-Reporting3.png
Date of access:
10/7/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
5. Offsetting
6. Frequency of reporting
7. Comparative information
8. Consistency of presentation
Source:
https://blogs.cfainstitute.org/marketintegrity/files/201
4/01/Financial-Reporting3.png
Date of access:
10/7/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Fair presentation
- financial statements shall present fairly the financial
position, financial performance and cash flows of an
entity.
Source:
https://blogs.cfainstitute.org/marketintegrity/files/201
4/01/Financial-Reporting3.png
Date of access:
10/7/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Fair presentation
- fair presentation is achieved if the financial
statements are prepared in accordance with PFRS
Source:
https://blogs.cfainstitute.org/marketintegrity/files/201
4/01/Financial-Reporting3.png
Date of access:
10/7/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Going concern
- accounting entity is viewed as continuing in
operation indefinitely in the absence of evidence to
the contrary
Source:
http://www.truthinaccounting.org/library/imglib/going
concern.png
Date of access:
10/7/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Going concern
- assets are normally recorded at original acquisition
cost
Source:
http://www.truthinaccounting.org/library/imglib/going
concern.png
Date of access:
10/7/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Accrual basis
- entity shall prepare its financial statement, except for
cash flow, using the accrual basis of accounting.
Source: https://www.paychex.com/a/i/articles/cash-
vs-accrual-profit-loss-effect.jpg
Date of access:
10/7/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Source:
https://blogs.cfainstitute.org/marketintegrity/files/201
4/01/Financial-Reporting3.png
Date of access:
10/7/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Source:
https://blogs.cfainstitute.org/marketintegrity/files/201
4/01/Financial-Reporting3.png
Date of access:
10/7/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Factors of materiality
• Relative size of the item in relation to the total of the
group to which the item belongs
Source:
https://blogs.cfainstitute.org/marketintegrity/files/201
4/01/Financial-Reporting3.png
Date of access:
10/7/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Offsetting
- an entity shall not offset assets and liabilities or
income and expenses, unless required or permitted
by the standards
Source:
https://blogs.cfainstitute.org/marketintegrity/files/201
4/01/Financial-Reporting3.png
Date of access:
10/7/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Frequency of Reporting
- entities shall present a complete set of financial
statements at least annually
Source:
https://blogs.cfainstitute.org/marketintegrity/files/201
4/01/Financial-Reporting3.png
Date of access:
10/7/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Comparative information
- entity shall disclose comparative information in
respect of the previous period for all amounts
Source:
https://blogs.cfainstitute.org/marketintegrity/files/201
4/01/Financial-Reporting3.png
Date of access:
10/7/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Consistency of presentation
- requires that “the accounting methods and practices
shall be applied on a uniform basis from period to
period.”
Source:
https://blogs.cfainstitute.org/marketintegrity/files/201
4/01/Financial-Reporting3.png
Date of access:
10/7/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting
Consistency of presentation
- essential and desirable to achieve comparability
Source:
https://blogs.cfainstitute.org/marketintegrity/files/201
4/01/Financial-Reporting3.png
Date of access:
10/7/2017
Week 001: Financial Statements and Conceptual Framework for Financial Reporting