Events After The Reporting Date

Question 1

What is the difference between an adjusting events and a non-adjusting events

Answer 1

Adjusting events is where the condition is listed at the end of the reporting date

In non-adjusting events relates to conditions which arose after Reporting date

Question 2

What is active duty

Answer 2

Until the auditors report assign orders have an active duty to look out for events that might tell them more about the financial statements

Question 3

What is a passive duty

Answer 3

After signing the auditors report the odds of a passive duty only