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CMA Final · Corporate Financial Reporting · Accounting Policies, Changes in Accounting Estimates and Errors (Ind AS 8)

Which of the following activities falls within the scope of Ind AS 8 as stated in the Standard?

Ind AS 8 applies to selecting and applying accounting policies and to accounting for changes in accounting policies, changes in accounting estimates and corrections of prior period errors. Fair value measurement, balance sheet formats and audit duties are dealt with elsewhere, so they are outside its scope.

  1. ASelecting and applying accounting policies, and accounting for changes in accounting policies, changes in accounting estimates and corrections of prior period errorsCorrect
  2. BDetermining the fair value of financial instruments at each reporting date
  3. CPrescribing the format and line items of the Balance Sheet
  4. DSetting the auditor's reporting responsibilities on prior period errors

Explanation

The Scope paragraph says the Standard is applied in selecting and applying accounting policies and in accounting for changes in policies, changes in estimates and corrections of prior period errors. Fair value measurement is covered by Ind AS 113, and presentation formats by Ind AS 1 and Schedule III. Auditor responsibilities are outside any Ind AS.

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