Which of the following statement is correct in relation to IAS 34 interim financial reporting?

I will go with the answer C, An entity may wait till final period reporting if the change happened after the last annual statements, but even though, interim statements for the same period should be re-stated. A is wrong, cash flow should be reported even in interim statements. B is wrong, interim reporting is not enforced by the standard, it depends on local laws and regulations. D is wrong, comparative figures should be shown on the face of the statements, not just disclosed !

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Answer : D

(as per IAS 34 paragraph 20)

An entity may alternatively choose to prepare full financia statements in accourdance with IAS 1 as its interim report.

IAS 34 does not mandate the preparation of interim financial report.

Answer A is wrong Cash flows are integral part of Financial statements. 

Answer B is wrong , the decision for interim financial reporting is based on requirnements by regulatory authorities and stock exchanges.

Answer C - As per IAS 34 disclosure of change in accounting policies are required 

 Disclosure of comparative figures for the previous interim period and prior full years

Interim Financial statements should include cash flow - hence option "a" is not correct

IFRS / IAS does not prescribe who should prepare interim financial statments - hence option "b" is not correct.

• The IFRS / IAS prescribe the standards to be followed when any entity prepares / presents Financial Staytements (FS) / Interim FS. The standards do not prescribe who whould prepare FS / Interim FS. Such requirements come from the Regulators - either the corporate regulators or the market regulators

Changes to accounting policies can be made at any stage; for example, a depreciation policy can be changed with effect from 01-Jan-2021. Hence while publishing the Q12021 reusults the reporting entity is expected to disclose the effect of the change in that depreciation policy while showing the comparatives - that is Q1.2021 vs Q1.2020. Hence the statement at option "c" is not correct

The statement at option "d" is incorrect - the requirement for publication of interim financial statements is to present the results (i) for the quarter and the year-to-date (ii) together with comparatives of the corresponding periods of the previous year 

• for example, while publishing the interim result for Q3 of 2020, we publish the four columns (i) results for Q32020, (ii) relusts for 9 months period ending with Sep 2020, (iii) results for Q32019 and (iv) results for 9 months period ending Sep 2019 - this is in respect of the income statement, the cash flow and the changes in equity while the blance sheet position would be as of the specific last dates of the aforesaid periods

as my my knowledge of IAS-34 correct answer is D-Comparative figures for previous interim period and previous full years must be disclosed

Answer: I think answer is "d" of your question.

A is incorrect. As a minimum, A condensed Statement of Cash flow for interm period is necessary under IAS 34.

B is incorrect. Preparing the interm accounts solely depends on national regulations in a specific jurisdiction. All entities are not bound.

C is incorrect. As this is true that the same accounting policies should be used in interm accounts that are being used in annual financial statements . but interm accounts are prepared on year to date basis. if there is any significant change in first quarter you have to apply it in relevant interm accounts irrespective of waiting till year end. At the year end the overall impact of that change will be measured and accounted.

d is incorrect. this stetement is generalized. Different components of interm financial statements require different comparative figures and information. e.g interm balance sheet require previous year financial statement and interm P&L and OCI require comparable interm P&L + OCI of last year and comparable cumulative P&L and OCI of last year as comparative figures.

Thanks