Professional Documents
Culture Documents
by
THE INSTITUTE OF COMPANY SECRETARIES
OF INDIA
WITH RELIANCE COMMUNICATIONS &
WIRC ICWAI
22
nd
AUGUST 2009
IAS 1 Presentation of
Financial Statements
Rammohan Bhave & Dr Anjali Bhave
mohanbhave@gmail.com
arbhave@gmail.com
+91 9004043365, +91 9322249029
+91 9322249029
2009
2008
2009
2008
Non-current Liabilities
Long-term borrowings
Deferred tax
Long term provisions
Total non-current liabilities
Current Liabilities
Trade and other payables
Short-term borrowings
Current portion of long- term borrowings
Current tax payable
Short-term provisions
Total current liabilities
Total liabilities
(d)
(e)
(f)
(g)
Inventories;
(i)
(j)
The total of assets classified as held for sale and assets included in disposal
groups classified as held for sale in accordance with IFRS 5 Non-current
Assets Held for Sale and Discontinued Operations;
(k)
(l)
Provisions;
(m)
(n)
Liabilities and assets for current tax, as defined in IAS 12 Income Taxes;
(o)
Deferred tax liabilities and deferred tax assets, as defined in IAS 12;
(p)
(q)
(r)
Current Assets
Current assets should have any of the following characteristics:
These are expected to be realised within the normal operating
cycle of the entity or within twelve months after the balance
sheet date whichever is higher ; examples are receivables, ,
advances, loans , etc. Financial instruments like available for
sale , held to maturity and loans which will be realised within a
period of twelve months from the date of balance sheet date.
These are intended for sale or consumption within the normal
operating cycle of the entity; example inventories.
These are held primarily for the purpose of trading ; example
Held for Trading Financial Instruments.
These are cash and cash equivalents. As per IAS-7 cash
comprises of cash on hand and demand deposits. Cash
equivalents are highly liquid investments that are readily
convertible to known amounts of cash , and which are
subjected to insignificant risk of changes in value.
Current Liabilities
Liabilities are classified as current liabilities
if these satisfy any of the following criteria:
These are expected to be settled in the entitys
normal operating cycle.
These are primarily held for trading.
These are due to be settled within a period of
twelve months from the balance sheet date.
The entity does not have an unconditional right
to defer settlement of the liability for at least
twelve months after the balance sheet date.
Statement of
Comprehensive Income
Two-part Statement of Comprehensive Income
First part presents Statement of Income
Second part presents Statement of Other
Comprehensive Income
Statement of Income
There are two distinct presentation
styles of the Statement of Income
income statement portion can be either
presented by nature of expense or
function .
Classification of Expenses by
Nature
Income Statement
Revenue
Other Income
Changes in inventories of finished goods
and work in progress
Work performed by the entity and
capitalised
Raw material consumed
Employee Benefit Expenses
Depreciation and Amortisation Expenses
Impairment of Property , Plant and
Equipment and Intangible Assets
Other Expenses
Finance Costs
Share of profit of associates
2009
2008
Classification of Expenses by
Nature
Income Statement
Profit Before Tax
Income tax expense
Profit for the year from continuing
operations
Profit ( Loss) for the year from
discontinued operations
Profit for the year
Profit attributable to :
Owners of the entity
Non-controlling interest
Earning per share
Basic
Diluted
2009
2008
Revenue
Cost of sales
Gross Profit
Other Income
Distribution Costs
Administrative Expenses
Other Expenses
Finance Costs
Share of profit of associates
2008
2008
2008
2008