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CA Final · Financial Reporting · Financial Instruments: Disclosures

Godavari Pharma Ltd's accountant is updating the Ind AS 107 disclosure checklist and finds several paragraph numbers that appear with no content. Based on the Ind AS 107 comparison with IFRS 7, which statement about paragraph numbering is correct?

Paragraphs 43-44BB of IFRS 7, dealing with effective date and transition, are not given in Ind AS 107 because they are not relevant in the Indian context, yet their paragraph numbers are retained to keep numbering consistent with IFRS 7. Paragraphs 42I-42S are likewise excluded.

  1. AParagraphs 43-44BB of IFRS 7 on effective date and transition are not given in Ind AS 107, but their paragraph numbers are retained for consistency with IFRS 7Correct
  2. BParagraphs 43-44BB were renumbered 1-5 in Ind AS 107 to remove blank paragraphs
  3. CParagraphs 42I-42S were retained in full because they relate to initial application of IFRS 9, which is relevant in India
  4. DParagraph numbers of deleted IFRS 7 paragraphs were reallocated to new Indian-specific requirements

Explanation

The comparison states that paragraphs 43-44BB on effective date and transition are not given since they are not relevant in the Indian context, but the paragraph numbers are retained to maintain consistency with IFRS 7. Paragraphs 42I-42S, relating to initial application of IFRS 9, are not included at all, which makes option C wrong.

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