F2M1 -Notes to Fin statement

Question 1

Significant Accounting policy

Answer 1

Key words
Basis
Method
Criteria
Accounting principle

Question 2

GAAP vs IFRS

Answer 2

IFRS needs

1. Statement of compliance
2. Brief about basis of decision of selecting principle
3. Risk and uncertainty disclosure - assumption for estimation of future

Question 3

Vulnerability of concentration

Answer 3

Criteria

1. Concentration exist on Fin statement date
2. It makes entity vulnerable in near term
3. least reasonable possibility \

Disclosure

1. concentration -customer, supplier, lender,
2. Revenue from particular product
3. Supplier resourses
4. Market geographic area

Question 4

Items not included in summary of significant acc policy

Answer 4

1. Composition and detail of $ balance
2. Details of changes in Acc principle
3. Date of maturity of long term debt
4. Yearly computation of Depreciation , depletion, amortization

Question 5

Other notes

Answer 5

Info not disclose anywhere else

1. Material info inventory, PP&E, asset and lia
2. Changes in equity
3. Unrealized gain & losses marketable secu
4. Fair value estimates
5. Contingency losses and gain
6. Contractual obligation -bond payable etc
7. Pension plan
8. Segment reporting
9. Subsequent event-discontinued segment, outside ordinary business
10. Changes in acc principle
11. Related party disclosure