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CMA Final · Corporate Financial Reporting · The Effects of Changes in Foreign Exchange Rates (Ind AS 21)

Ind AS 21 uses terminology that differs from IAS 21. Which of the following correctly describes this difference as noted in the Ind AS 21 comparison with IAS 21?

The comparison with IAS 21 notes that Ind AS 21 uses the term 'balance sheet' in place of the IAS term 'statement of financial position'. It is an example of the different terminology used in the Indian Standard; the other options are not stated differences.

  1. AInd AS 21 uses the term 'balance sheet' instead of 'statement of financial position'Correct
  2. BInd AS 21 uses 'statement of financial position' instead of 'balance sheet'
  3. CInd AS 21 uses 'income statement' instead of 'statement of profit and loss'
  4. DInd AS 21 uses 'functional currency' instead of 'presentation currency' throughout

Explanation

Appendix 1 records that different terminology is used in the Standard, for example the term 'balance sheet' is used instead of 'Statement of financial position'. The other options reverse or invent terminology changes.

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