How IAS 34 does interacts with other accounting standards?
IAS 34, Interim Financial Reporting, interacts with other accounting standards in several ways. Here are some examples of how IAS 34 interacts with other accounting standards:
- IFRSs: IAS 34 requires that interim financial statements be prepared in accordance with the recognition and measurement principles of IFRSs, which are set out in other IFRSs. Therefore, in order to properly apply IAS 34, one must have a good understanding of the underlying principles of IFRSs and their interaction with IAS 34.
- IAS 24: IAS 24, Related Party Disclosures, requires that companies disclose information about related party transactions and balances in their financial statements. IAS 34 requires similar disclosure for interim financial statements. Therefore, companies must consider the requirements of both standards when preparing and presenting their interim financial statements.
- IAS 33: IAS 33, Earnings per Share, requires that companies calculate and disclose earnings per share in their financial statements. IAS 34 requires similar disclosure for interim financial statements. Therefore, companies must consider the requirements of both standards when preparing and presenting their interim financial statements.
- IAS 36: IAS 36, Impairment of Assets, requires that companies assess the impairment of assets and recognize any impairment losses in their financial statements. IAS 34 requires companies to disclose any impairment losses recognized during the interim period. Therefore, companies must consider the requirements of both standards when preparing and presenting their interim financial statements.
- IAS 37: IAS 37, Provisions, Contingent Liabilities, and Contingent Assets, requires that companies recognize and disclose provisions, contingent liabilities, and contingent assets in their financial statements. IAS 34 requires similar disclosure for interim financial statements. Therefore, companies must consider the requirements of both standards when preparing and presenting their interim financial statements.
Overall, IAS 34 interacts with other accounting standards in various ways. Companies must consider the requirements of other accounting standards when preparing and presenting their interim financial statements in order to ensure compliance with all applicable standards.