Property, Plant and Equipment Objective 1. The objective of this Standard is to prescribe the accounting treatment for property, plant and equipment so that users of the financial statements can discern information about investment made by an enterprise in its property, plant and equipment and the changes in such investment. The principal issues in accounting for property, […]

Revenue Recognition Introduction 1 This Standard deals with the bases for recognition of revenue in the statement of profit and loss of an enterprise. The Standard is concerned with the recognition of revenue arising in the course of the ordinary activities of the enterprise from – the sale of goods, – the rendering of services, and –

Construction Contracts Objective The objective of this Standard is to prescribe the accounting treatment of revenue and costs associated with construction contracts. Because of the nature of the activity undertaken in construction contracts, the date at which the contract activity is entered into and the date when the activity is completed usually fall into different accounting

Net Profit or Loss for the Period, Prior Period Items and Changes in Accounting Policies Objective The objective of this Standard is to prescribe the classification and disclosure of certain items in the statement of profit and loss so that all enterprises prepare and present such a statement on a uniform basis. This enhances the

Contingencies and Events Occurring After the Balance Sheet Date Introduction 1 This Standard deals with the treatment in financial statements of (a) contingencies 3, and (b) events occurring after the balance sheet date. 2 The following subjects, which may result in contingencies, are excluded from the scope of this Standard in view of special considerations applicable to them:

Cash Flow Statements As per the definition of ‘financial statements’ under the Companies Act, 2013, financial statements include cash flow statement. In case of one person company, small company and dormant company, financial statements may not include cash flow statements. This Accounting Standard is not mandatory for Micro, Small and Medium sized Enterprises (Level IV, Level

Valuation of Inventories Objective A primary issue in accounting for inventories is the determination of the value at which inventories are carried in the financial statements until the related revenues are recognised. This Standard deals with the determination of such value, including the ascertainment of cost of inventories and any write-down thereof to net realisable value. Scope 1

Introduction 1 This Standard deals with the disclosure of significant accounting policies followed in preparing and presenting financial statements. 2 The view presented in the financial statements of an enterprise of its state of affairs and of the profit or loss can be significantly affected by the accounting policies followed in the preparation and presentation