2. • Overview of IAS 10
IAS 10 is an international nancial reporting
standard (IFRS) that is part of the
Framework of International Financial
Reporting Standards. It is established to
provide guidance on recognizing,
measuring, presenting, and disclosing
events after the reporting period. With a
clear understanding of IAS 10, you can
accurately measure, account for, and report
events that occur after the reporting
period.
4. • Scenario
Development
Scenario Development
Scenario development helps to assess
future events after reporting period.
Analyzing different scenarios to identify
potential transactions or events post
reporting period. This ensures sound
decision making & helps to prepare for
unexpected situations. Indentifying risks &
potential consequences enables effective
strategy formulation & to ensure accurate
nancial reporting.
5. • Timing
Considerations
Timing is the Key
Understanding the timing of the event,
whether it has taken place before or after
the reporting period, is a key component to
assessing the potential impacts. Ensuring
that appropriate information is collected
systematically at the relevant period
enables a business to recognize potential
risks & prepare for potential contingencies.
6. • Accounting
Treatment
IAS10 requires companies to assess
whether after reporting period events
could impact the nancials and account
accordingly. In this case companies must
assess nature, amount & the timing of such
events to quantify their nancial impact.
Professional guidance can help to set the
right procedures & prepare the nancial
statements accordingly.
7. • Documentation
Comprehensive & Systematic
Speci cally for events after the reporting
period, it is important that companies have
a proper documentation of the events, so
they can assess them at the time of
nancial statements preparation &
estimate the nancial impact. Professional
advice can help organizations maintain
precise & adequate documentation to
ensure the authenticity of accounting
information.
8. • Conclusion
Professional Guidance is the Key
IAS 10 provides a holistic framework for
entities in understanding, monitoring &
documenting events occurring after the
reporting period. CFOs & nancial advisors
should collaborate to navigate the
complexities of this standard. This would
help the companies bring about an
objective & realistic assessment of the
nancial position. Professional guidance
would lead to appropriate nancial
disclosures.