Dela Cruz, Geralyn A.

A. Yes, the group could present a separate consolidated statement of comprehensive income and a statement of changes in equity if it is arise from profit or loss. B. The presentation of the consolidated statement of income and retained earnings change in separate line item in the income statement disclosing of taxes for the profit & loss of discontinued operations and the gain/loss on disposal should be disclosed as well in the income statement. It should also be presented above total Profit & Loss for the year and it is separated from the current profit from continuing operations. C. Disclose separately in the statement of income and retained earnings allocations of Profit & Loss attributable to non-controlling interest and owners of the parent. D. Yes, but they should present it by function that will provide better information. Examples of expenses by function are shipping expense and administrative expenses. E. The group is not required because in paragraph 5.5 all the line items that need to be presented in the statement of comprehensive income have been enumerated. F. Using Statement of Asset and Liability Values is not appropriate, according to 3.22 an entity may use titles for the financial statements other than those used in this IFRS as long as they are not misleading, the balance sheet is appropriate. G. No, in a complete set of financial statements, an entity shall present each financial statement with equal prominence. H. According to 3.14, an entity shall disclose comparative information in respect of the previous comparable period for all amounts presented in the current periods financial statements. I. An entity shall present current and non-current assets, and current and non-current liabilities, as separate classifications in its statement of financial position in accordance with paragraphs 4.5 4.8, except when a presentation based on liquidity provides information that is reliable and more relevant.

J. Yes, all assets and liabilities shall be presented in order of approximate liquidity, its either ascending or descending. K. It explains why a gain on sale of equipment has been excluded from cash flows from operating activities. L. Yes, an entity shall present separately cash flows from interest and dividends received and paid. M. Yes, according to 7.17 unless they can be specifically identified with financing and investing activities, when tax cash flows are allocated over more than one class of activity, the entity shall disclose the total amount of taxes paid.

N. If presentation currency is different from the functional currency, disclose the functional currency and the reason for using a different presentation currency. O. The other measurement bases are cost model, equity method or fair value model. The advisable base to use is the Fair Value Model if quoted market price. P. No, IFRS for SMEs requires that all borrowing costs are recognized as an expense in profit or loss in the period in which they are incurred. Q. Yes, all purchased intangible assets accounted for at cost less accumulated amortization and impairment losses. R. An entity shall disclose, in the summary of significant accounting policies or other notes, the judgments, apart from those involving estimations that management has made in the process of applying the entitys accounting policies and that the most significant effect on the amount recognized in the financial statements. S. No, the entity is permitted to make specified simplifications in measuring its defined benefit obligation, if they use Projected Unit Credit Method. T. No, an entity shall not present or describe any items of income and expense as extraordinary items in the statement of comprehensive income. U. Yes, because they are the same. V. Under paragraph 29.29, group must offset deferred tax assets and liabilities if it has a legally enforceable right to set off the amounts and intends either to settle net or simultaneously. W. No, all deferred tax assets and liabilities are classified as non-current. X. In paragraph 2.52, offsetting is prohibited unless explicitly permitted by the IFRS for SMEs. In this case the IFRS does not provide exemption. Therefore the group cannot present cash and bank overdrafts net in its consolidated statement of financial position. Y. It should be separately disclosed. Z. Because, the amounts recognized in the financial statements should not be adjusted and at the end of reporting period non- adjusting events should be disclosed.