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

Dakshin Foods Ltd is a company required to follow Ind AS. Its accountant is comparing Ind AS 8 with IAS 8 and makes four statements: (A) Ind AS 8 uses the term 'balance sheet' instead of 'statement of financial position'; (B) Ind AS 8 uses 'statement of profit and loss' instead of 'statement of comprehensive income'; (C) Ind AS 8 retains paragraph 6 with content because it is not deleted in IAS 8; (D) Ind AS 8 includes the IAS 8 effective date and transition paragraphs 54-54E in full. Which statement set is correct?

Only statements A and B are correct. Ind AS 8 uses the terms balance sheet and statement of profit and loss. Paragraph 6 is deleted in IAS 8 and only its number is retained in Ind AS 8, and paragraphs 54-54E on effective date and transition are not included.

  1. AA and B onlyCorrect
  2. BA, B and C only
  3. CA, B and D only
  4. DC and D only

Explanation

The comparison with IAS 8 notes the different terminology: balance sheet and statement of profit and loss. Paragraph 6 appears as deleted in IAS 8, and its number is retained in Ind AS 8 for consistency, so C is wrong. Paragraphs 54-54E are not included as not relevant in the Indian context, though the numbers are retained, so D is wrong.

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