Question 4 The following events occurred after the year end, but before the financial statements were authorised for issue: Enactment by the government of a revised tax rate affecting the amount  of the settlement of the deferred tax liability included in the financial statements. A share split in respect of the earnings per share Criteria being met in order to classify non-current assets as held for A material, but not fundamental, error arising in the comparative Required: In accordance with IAS 10: Events after the reporting period, explain with justification whether each of the above is an adjusting or a non-adjusting event after the reporting period.

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Question 4

The following events occurred after the year end, but before the financial statements were authorised for issue:

  1. Enactment by the government of a revised tax rate affecting the amount  of the settlement of the deferred tax liability included in the financial statements.
  2. A share split in respect of the earnings per share
  3. Criteria being met in order to classify non-current assets as held for
  4. A material, but not fundamental, error arising in the comparative

Required: In accordance with IAS 10: Events after the reporting period, explain with justification whether each of the above is an adjusting or a non-adjusting event after the reporting period.

 

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