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Investor Presentaiton

CA Immaterial information: THE INSTITUTE OF CHARTERED ACCOUNTANTS OF SRI LANKA If transactions, events or conditions are material they must be presented or disclosed in the financial statements (and recognised and measured in accordance with IFRS if appropriate). When a transaction, event or condition is not material, it does not mean that it should not be recorded in the financial system, but it means instead that it would not be necessary to separately provide information about it in the financial statements. ■ Moreover, providing too much immaterial information can obscure useful information and consequently mean that the financial statements are less understandable. CA T THE INSTITUTE OF CHARTERED ACCOUNTANTS OF SRI LANKA Aggregation of information • If a line item on the face of the statements is not individually material, it can be aggregated with other items. Eg: an entity may decide to combine all of its financial assets measured at fair value together in one line item on the face of the statement of financial position, if separate presentation is not considered material. 28
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