I analyze company disclosures of significant accounting policies.

Question 1

IFRS, GAAP must disclose acct. policies and estimates in the footnotes.

Answer 1

Use disclosures to evaluate what policies are discuseed, whether they cover all the relevant data in the financial statements, which polciies reequired managemne to tmake estimates, and wheteher the disclosures and estimates have changed since the prior end.

Another disclosure that is required for public companies is the likely impact of implementing recently issued accting standards. Maangemtn can discuss the impact of adopting a new standard, conclude that the standard does not apply or will not affect the financial statement materially, or state that they are still evaluating the effects of the new standards. Analysys should be aware of the uncertainty this late statement implies.

Question 2

Lacey stuff

Answer 2

Crit and signif acct. policies: What policies discussed?, policies cover all signif. baance on the FS’s? An changes in these disclosuresfrom one year to the next?

Changes in ACCT policies
Adoption of a new acct standard
REsult of a voluntary change