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CA Final · Financial Reporting · Ind AS 21 The Effects of Changes in Foreign Exchange Rates

Meera Pharma Ltd prepares its draft financial statements under Ind AS 21 and wants to find cross-references to guidance on foreign exchange matters contained in other Ind AS. Which part of Ind AS 21 is designed for this purpose?

Appendix C of Ind AS 21, titled References to matters contained in other Indian Accounting Standards, is meant to draw attention to guidance already available in other Ind AS that is also relevant to the topic covered by Ind AS 21.

  1. AAppendix C, References to matters contained in other Indian Accounting StandardsCorrect
  2. BAppendix 1, Comparison with IAS 21 only
  3. CAppendix A, Application guidance on hedging
  4. DAppendix D, Transition to Ind AS

Explanation

Appendix C was included in Ind AS 21 to draw attention to guidance already available in other Ind AS that is also relevant to the topic in Ind AS 21. Appendix 1 compares with IAS 21 and is not part of the Standard.

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