Course Title : Auditing

Course code : FIN-

3204

Presentation on IAS 1
Group : 01

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 Presentation Chart : IAS 1 Financial Statement

Md Nymuzzaman (B170203003)
Statement of financial position Mehenaz Zahan Mukti (B170203040)
Statement of cash flow General features

Yasir Arafat (B170203005) Md. Mominul Islam (B170203037)

General features Amana Akter ( B170203004) Statement of comprehensive income
Introduction

Md. Fazle Rabbi (B170203032) Emon Bapari (B170203022)

Notes to the Financial Statement Statement of Changes in Equity
Conclusions
 Presentation of Financial Statements
 Statement of Financial Position
 Statement of Cash Flow
 In 1974, Draft exposure  Financial performance
 Statement of Comprehensive
 In 1975, Disclosure of  Making economic Income
Accounting Policies decisions
Issued  Statement of Changes in Equity
 Cash flows
 In 1997, Issued by  Notes to the Financial Statements
International Accounting
Standards Committee

Purpose Definitions Complete Set of

History Objectives
Financial Statements

 How to present  Formal annual report

Financial Statements
 Financial Activities and
 Definitions position
 General Features  Of any entity, business or
individual
 Structure
 Content
 Consistency of Fair Presentation &
Presentation Compliance

Comparative
Information Going Concern

Fair Presentation
General
& Compliance
Features
Frequency of
Accrual Basis
Reporting

Materiality &
Offsetting
Aggregation
 Consistency of Fair Presentation &
Presentation Compliance

Comparative
Information Going Concern

General Going Concern

Features
Frequency of
Accrual Basis
Reporting

Materiality &
Offsetting
Aggregation
 Consistency of Fair Presentation &
Presentation Compliance

Comparative
Information Going Concern

General Accrual Basis

Features
Frequency of
Accrual Basis
Reporting

Materiality &
Offsetting
Aggregation
 Consistency of Fair Presentation &
Presentation Compliance

Comparative
Information Going Concern

Materiality &
General
Aggregation
Features
Frequency of
Accrual Basis
Reporting

Materiality &
Offsetting
Aggregation
 Consistency of Fair Presentation &
Presentation Compliance

Comparative
Information Going Concern

General Offsetting
Features
Frequency of
Accrual Basis
Reporting

Materiality &
Offsetting
Aggregation
 Consistency of Fair Presentation &
Presentation Compliance

Comparative
Information Going Concern

Frequency of
General
Reporting
Features
Frequency of
Accrual Basis
Reporting

Materiality &
Offsetting
Aggregation
 Consistency of Fair Presentation &
Presentation Compliance

Comparative
Information Going Concern

Comparative
General
Information
Features
Frequency of
Accrual Basis
Reporting

Materiality &
Offsetting
Aggregation
 Consistency of Fair Presentation &
Presentation Compliance

Comparative
Information Going Concern

Consistency of
General
Presentation
Features
Frequency of
Accrual Basis
Reporting

Materiality &
Offsetting
Aggregation
Statement of Financial Position
Balance Sheet
 Elaborate presentation or calculation of
“A=L+OE.”
 IAS-1, Not prescribe the format.
 Ensure classify or differentiate presentation
of current vs non-current (assets &
liabilities).

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 Statement of Financial Position
Balance sheet

Curre Non-current
 Duration upnt
to 12 months.  Duration more than 12 months.
 An agreement to refinance,
 Holds primarily for the purpose of
trading.  Reschedule payments,

 Creates through normal operating  Doesn’t create through normal

cycle. operating cycle.

 Presents before non-current.  Presents before non-current.

 EX: Inventory; Debtor; Creditor  EX: Long-term loan; Building.

 Statement of Financial Position
Balance sheet
Current Assets

are cash; cash equivalent; assets held for

collection, sale within the entity’s through normal
operating cycle; or assets held for treading within
the next 12 months. All other assets are
noncurrent. are those to be settled within the entity’s normal
operating cycle or due within 12 months or those
held for trading. Other liabilities are noncurrent.

Current Liabilities

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Statement of Financial Position
Balance sheet
 On 3rd May 2012, the IASB issued an
amendment to IAS-1to clarify non-current
liabilities;
 Roll over obligation at least 12 months after
reporting period;
 Same or existing lender;
 Under same condition.

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Audit Objective Related Financial position

Existence Completeness Accuracy Classification

Realizable Right &

Cutoff
value obligation
 Statement of Cash Flows

IAS-1 refers to IAS-7 statement Generate cash Proper utilization

of cash flows.
Insert or Drag & Drop Your Photo

STATEMENT OF
COMPREHENSI
VE INCOME

The statement of comprehensive income illustrates

the financial performance and results of operations
of a particular company or entity for a period of
time.
 A entity has two choices of presentation

In a single statement of comprehensive

income,

STATEMENT OF
COMPREHENSI
In two statements:
a statement displaying components of profit VE INCOME
or loss
(separate income statement) and a second
statement beginning with profit
or loss and displaying components of other
comprehensive income
(statement of comprehensive income).
 Statement of profit or loss and other comprehensive income

Profit or loss Other comprehensive income

1. Revenue
2. Finance cost
1. Each component of OCI by nature Will be reclassified to
3. Share of the profit or loss of P/L
2. Share of OCI by associates or joint
associates or joint ventures by
ventures by equity method
equity method Will not be reclassified
4. Tax expense to P/L
5. Total of discounted operations ( IFRS
5)

Profit or loss Other comprehensive income Comprehensive

income
Insert or Drag & Drop Your Photo STATEMENT OF
CHANGES IN
EQUITY

IAS 1 requires an entity to present a statement of

changes in equity as a separate component of the
financial statements.
 The statement must show:

Reconciliations between the carrying

Total comprehensive income for the The effects of retrospective amounts at the beginning and the end
period ( showing owners of parents and non-controlling application . (in accordance IAS 8) of the period for each component of
interests ) equity of :

Each item of the

Profit or loss Transactions with
comprehensive
owners
income
 Statement of Changes in
Equity Auditing in Equity

Substantive
Primary Equity Equity Related Fraud Directional Risk of Procedures of Equity
Assertions and Error Equity

1 2 3 4
 1 Basis of preparation

Information required by IFRS that is 2 NOTES TO

not presented
FINANCIAL
STATEMENT
3 Should be cross-referenced

Key assumption for material judgment 4

 NOTES MUST BE PRESENTED IN FOLLOWING
ORDER:

Compliance with IFRS Summary of accounting policies

Contingent liabilities & unrecognized Non- financial disclosures

contractual commitments
 DIVIDEND
DISCLOSURE

 Proposed dividends

 Amount recognized
HTTP://WWW.CONTOSO.COM/
 Amount per share

 Cumulative preference of dividends

  Objective of policies & process

Capital Disclosures  Quantitative data

 Capital requirement

 Compiled consequences
Thank
You

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