Skip to content

CA Final · Financial Reporting · Ind AS 8 Accounting Policies, Changes in Accounting Estimates and Errors

A trainee is preparing a note comparing Ind AS 8 with IAS 8 for Rathore Industries Ltd. Which of the following statements about the differences is correct as per the text of Ind AS 8?

The correct statement is that paragraph 6 is shown as deleted in IAS 8 and its number is retained in Ind AS 8 for consistency. Paragraphs 54-54E are not included, paragraph 9 drops the non-integral guidance text, and paragraph 12 permits first considering IASB pronouncements.

  1. AParagraph 6 appears as 'deleted' in IAS 8, and its number is retained in Ind AS 8 to keep paragraph numbering consistent with IAS 8Correct
  2. BParagraphs 54-54E of IAS 8 on effective date and transition are reproduced in full in Ind AS 8 because they are relevant in the Indian context
  3. CParagraph 9 of Ind AS 8 retains the text describing guidance as a non-integral part of the Standard
  4. DParagraph 12 of Ind AS 8 requires management to apply only Indian pronouncements and forbids reference to the IASB

Explanation

The comparison notes that paragraph 6 is 'deleted' in IAS 8 and the number is retained in Ind AS 8 for consistency. Paragraphs 54-54E are not included, though their numbers are kept. Paragraph 9 was modified to delete the non-integral guidance text. Paragraph 12 allows management to first consider IASB pronouncements, so it does not forbid them.

Did you get it right without looking?

One question tells you little. A timed set on Ind AS 8 Accounting Policies, Changes in Accounting Estimates and Errors shows your real accuracy, how long you take and where you lose marks.

Practise Ind AS 8 Accounting Policies, Changes in Accounting Estimates and ErrorsFree diagnostic mock

More Ind AS 8 Accounting Policies, Changes in Accounting Estimates and Errors questions