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CA Final · Financial Reporting · Ind AS 34 Interim Financial Reporting

Zenith Polymers Ltd prepares its quarterly results under Ind AS 34. The finance head asks how the statement of profit and loss must be presented in the interim financial report, given that IAS 34 offers a choice of presentation. Which statement is correct for Ind AS 34?

Ind AS 34 permits only the single statement approach for the statement of profit and loss, consistent with Ind AS 1. The option available in IAS 34 to use two statements has been removed in the Indian standard, so an entity cannot choose a two-statement presentation in interim reports.

  1. AInd AS 34 allows either a single statement or a two-statement approach, at the entity's option
  2. BInd AS 34 allows only the single statement approach, in line with Ind AS 1Correct
  3. CInd AS 34 requires the two-statement approach for condensed interim reports only
  4. DInd AS 34 requires the two-statement approach for a complete set of interim financial statements

Explanation

Appendix 1 to Ind AS 34 notes that IAS 34 permits a single or two-statement approach, but Ind AS 34 allows only the single statement approach, consistent with Ind AS 1. Paragraphs 8A and 11A of IAS 34, which gave the option, are deleted. Options offering a two-statement approach are therefore wrong.

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