AS 1: Disclosure of Accounting Policies

AFM Definition, Scope & Accounting Standards including Ind AS Free JAIIB Capsule 54 views Updated
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AFM · Definition, Scope & Accounting Standards including Ind AS
What does Accounting Standard 1 (AS 1) mandate regarding the preparation of financial statements and fundamental accounting assumptions?
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It requires disclosure of all significant accounting policies. If Going Concern, Consistency, and Accrual are followed, specific disclosure is not needed.
If any fundamental assumption is NOT followed, it must be explicitly disclosed to facilitate a meaningful comparison between enterprises.
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AS 1: Disclosure of Accounting Policies — Full Text

What does Accounting Standard 1 (AS 1) mandate regarding the preparation of financial statements and fundamental accounting assumptions?

Answer

It requires disclosure of all significant accounting policies. If Going Concern, Consistency, and Accrual are followed, specific disclosure is not needed.

Additional notes

If any fundamental assumption is NOT followed, it must be explicitly disclosed to facilitate a meaningful comparison between enterprises.

Part of Accounting & Financial Management for Bankers · Definition, Scope & Accounting Standards including Ind AS · Last updated

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