Under IAS 1/AASB 101, which of the following statements concerning the statement of financial position is correct?
A) The statement has a prescribed format.
B) Movements in reserves must be shown on the face of the statement.
C) The statement must begin with the assets section.
D) All assets and liabilities must be classified as current or non-current (unless a liquidity presentation is more appropriate).

Question

Quizplus · Accepted Answer

As per IAS 1/AASB 101, all assets and liabilities must be classified as current or non-current on the statement of financial position unless a liquidity presentation is more appropriate. The statement does not have a prescribed format, but it should present a true and fair view of the entity's financial position. Movements in reserves can be shown either on the statement of changes in equity or in the notes to the financial statements. The statement can begin with either the assets or liabilities section.

Under IAS 1/AASB 101, Which of the Following Statements Concerning