FAR - Framework, Overview & Statements - General-Purpose Financial Statements - Statement of Changes In Equity under US GAAP

Question 1

Is the statement of changes in equity required under IFRS?

Answer 1

Yes.

Question 2

How many years or Owner’s Equity (OE) must be reported by SEC registrants?

Answer 2

Three years of OE statements.

Question 3

How are accounts listed in the vertical format?

Answer 3

They are listed in separate columns.

Question 4

Does accumulated other comprehensive income (AOCI) have its own column in the vertical format?

Answer 4

Yes.

Question 5

In what type of format does the Statement of Changes in Equity appear?

Answer 5

The format is vertical and horizontal.

Question 6

List the other names for Statements of Changes in Equity.

Answer 6

Statement of Changes in Owner’s Equity, Owner’s Equity Statement, Statement of Shareholders’ Equity, and Statement of Owners’ Equity.

Question 7

What do vertical format statements allow accountants to do?

Answer 7

Check accuracy by comparing total owner’s equity computed as 1) the sum of each transaction affecting OE and 2) the sum of individual OE account balances.