Chapter 21 EVENTS AFTER THE REPORTING PERIOD Learning Objectives IAS 10 IAS 10 IAS 10 - Examples Adjusting events • • • • • • • Non-current assets Determination of purchase price or proceeds of sale Property and investments Evidence of a permanent impairment Inventories Evidence of NRV or likely profits/losses on long-term contracts Receivables Renegotiation by or insolvency of trade accounts receivable Settlement of insurance claims Discoveries of error or fraud Taxation Rates fixed date Non adjusting events • • • • • • • • • Mergers and acquisitions Reconstructions Issues of shares and debentures Purchases/sales of non-current assets and investments Loss or drop in value of non-current assets or inventories occurring after the year end Expansion or contraction of trade Changes in rates of foreign exchange Government action or strikes Augmentation of pension benefits Dividends declared after the reporting date ... occurring after the year end Expansion or contraction of trade Changes in rates of foreign exchange Government action or strikes Augmentation of pension benefits Dividends declared after the reporting. .. Settlement of insurance claims Discoveries of error or fraud Taxation Rates fixed date Non adjusting events • • • • • • • • • Mergers and acquisitions Reconstructions Issues of shares and debentures...Learning Objectives IAS 10 IAS 10 IAS 10 - Examples Adjusting events • • • • • • • Non-current assets Determination of purchase price or proceeds of sale Property