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CA Final · Financial Reporting · Ind AS 113 Fair Value Measurement

Ind AS 113 Appendix 1 compares the standard with IFRS 13. Regarding paragraphs C1-C5 of IFRS 13, which statement is correct?

Paragraphs C1-C5 of IFRS 13 are omitted from Ind AS 113 because they deal with effective date and transition, which are not relevant in India. The paragraph numbers are nevertheless retained so that numbering stays consistent with IFRS 13, and no renumbering is done.

  1. AThey are not included in Ind AS 113 because they relate to effective date and transition, but the paragraph numbers are retained for consistencyCorrect
  2. BThey are included in Ind AS 113 unchanged because transition rules apply to every Indian company
  3. CThey are removed and the later paragraph numbers are renumbered to fill the gap
  4. DThey are replaced by new paragraphs prescribing Indian transition rules for fair value

Explanation

Appendix 1 states that paragraphs C1-C5 of IFRS 13 are not included in Ind AS 113 as they relate to effective date and transition, which are not relevant in the Indian context. The paragraph numbers are retained to stay consistent with IFRS 13. Hence there is no renumbering and no replacement text.

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