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CMA Intermediate · Corporate Accounting and Auditing · Presentation of Financial Statements (Ind AS 1)

Regarding other comprehensive income (OCI) in the Statement of Changes in Equity, which statement is correct under Ind AS 1?

For each component of equity, an analysis of other comprehensive income by item must be presented, either in the Statement of Changes in Equity or in the notes. This is required by paragraph 106A of Ind AS 1.

  1. AAn analysis of OCI by item for each component of equity must be presented either in the statement of changes in equity or in the notesCorrect
  2. BOCI must never be analysed by component of equity
  3. COCI is always included in retained earnings and not shown separately
  4. DOCI analysis is required only for non-controlling interests

Explanation

Paragraph 106A requires, for each component of equity, an analysis of OCI by item, presented either in the statement of changes in equity or in the notes. Paragraph 108 notes that components include the accumulated balance of each class of OCI, so it is not merged into retained earnings.

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