Which of the following statements is true regarding correcting errors in previously issued financial statements prepared in accordance with International Financial Reporting Standards (IFRS)?
A) The error can be reported in the current period if it's not considered practicable to report it retrospectively.
B) The error can be reported in the current period if it's not considered practicable to report it prospectively.
C) The error can be reported prospectively if it's not considered practicable to report it retrospectively.
D) Retrospective application is required with no exception.

Question

Quizplus · Accepted Answer

Under IFRS, if it is impracticable to determine the period-specific effects of an error on comparative information for one or more prior periods, the entity may adjust the opening balances of assets, liabilities, and equity for the earliest period for which retrospective restatement is practicable. This allows for reporting the correction in the current period when retrospective application is not practicable.

Which of the Following Statements Is True Regarding Correcting Errors