PAGE1

FI
NANCI
ALACCOUNTI
NGANDREPORTI
NG

EVENTSAFTERTHEREPORTI
NGPERI
OD

KeyDef
ini
ti
ons

Eventsaf
tert
herepor
ti
ngperi
od:Anevent
,whichcoul
dbefav or
abl
eorunfavor
able,thatoccurs
betweent
herepor
ti
ngperi
odandthedat
ethatt
hefi
nanci
alst
atement
sareauthor
izedforissue.

Adjust
ingevent
:Aneventaft
ertherepor
ti
ngperi
odthatprovi
desfurt
herevidenceofcondi
ti
ons
thatexist
edattheendofthereport
ingperi
od,i
ncl
udinganeventthati
ndicatesthatt
hegoing
concernassumpti
oni
nrel
ati
ontothewholeorpar
toftheent
erpr
isei
snotappr opr
iat
e.

Non-adj
usti
ngevent
:Aneventaf
tert
her
epor
ti
ngper
iodt
hati
sindi
cat
iveofacondi
ti
ont
hatar
ose
af
tertherepor
ti
ngperi
od.

Adj
ust
ingev
ent Non-
adj
ust
ingev
ent

Exampl
es: Exampl
es:

 Eventsthatindi
catethatthegoi ng  Major busi
ness combi
nat
ions or
concernassumpti
oninrelat
iont
ot he di
sposal
ofasubsi
diar
y
whole orpartoft he enti
tyis not
appropri
ate  Majorpur chaseordisposalofassets,
cl
assi
ficationofasset
sasheldforsale
 Sett
lementaf terrepor
ti
ng date of orexpr opriat
ion ofmajorassets by
courtcasest hatconfi
rm t
heent i
ty gover
nment
hadapr esentobli
gati
onatrepor
ti
ng
date  Dest
ruct
ionofamajorpr
oduct
ionpl
ant
byfi
reaf
terr
epor
ti
ngdate
 Bankrupt
cy of a cust omer that
occurs after reporti
ng date that  Announci
ng a pl
an t
o di
scont
inue
confi
rmsal ossexistedatrepor
ting oper
ati
ons
dateontradereceivables
 Announci
ngamaj
orr
est
ruct
uri
ngaf
ter
 Sal
es ofi nventor
ies af
terreporti
ng repor
ti
ngdat
e
datet hatgi
v eevidenceaboutt heir
netreali
sabl
ev al
ueatreport
ingdate
 Maj
oror
dinar
yshar
etr
ansact
ions
 Determinat
ionaf
terreport
ingdateof
 Abnormal l ar
ge changes aft
er the
cost of asset s pur chased or
report
ing peri
od in asset
s pr
ices or
proceeds fr
om assets sold,bef
ore
report
ingdate forei
gnexchangerates

 Discovery of fr
aud or er
ror
st hat  Changesi
ntaxr
atesort
axl
aw
show t he fi
nanci
alstat
ements are
i
ncorrect.  Ent
eri
ngintomaj
orcommi
tment
ssuch
asguar
antees

 Commenci ng major l
it
igat
ion ar
isi
ng
solel
youtofeventsthatoccurr
edaft
er
therepor
ti
ngperi
od.

Account
ing

 Adj
ustf
inanci
alst
atement
sforadj
ust
ingev
ent
s–ev
ent
saf
tert
her
epor
ti
ngper
iodt
hat
provi
def ur
therev idenceofcondi
ti
onsthatexist
edattheendofther epor
ti
ngper
iod,
i
ncludingeventsthatindi
cat
ethatt
hegoingconcer
nassumpt
ioni
nrel
ati
ont ot
hewhol
eor
partoftheenterpr
iseisnotappr
opr
iat
e.
 Donotadj
ustf
ornon-
adj
ust
ingev
ent
s–ev
ent
sorcondi
ti
onst
hatar
oseaf
tert
her
epor
ti
ng
per
iod.

10/
16-
12
 PAGE2
 I
fanent
it
ydecl
aresdi
vi
dendsaf
tert
her
epor
ti
ngper
iod,
theent
it
yshal
lnotr
ecogni
zet
hose
di
vi
dendsasal
i
abi
l
ityatt
her
epor
ti
ngper
iod.Thati
sanon-
adj
ust
ingev
ent
.

Goi
ngConcer
nIssuesAr
isi
ngAf
terRepor
ti
ngper
iod

Anenti
tyshal
lnotpr epar
ei t
sf i
nanci
alstatementsonagoi ngconcernbasi
sifmanagement
det
ermi
nesaft
erthereport
ingperi
odeit
herthatiti
ntendst
oli
quidat
etheent
it
yortoceaset
radi
ng,
ort
hati
thasnoreal
isti
calt
ernati
vebuttodoso.

Di
scl
osur
e
 Non-adjust
ing ev
ents shoul
d be discl
osed iftheyar e ofsuch importance thatnon-
discl
osurewouldaff
ecttheabili
tyofuserstomakepr opereval
uat
ionsanddeci si
ons.The
requi
reddiscl
osurei
s( a)thenatur
eoftheev entand( b)anesti
mateofitsfinancialef
fect
orastatementthatareasonabl
eestimateoftheeffectcannotbemade.

 Acompanyshoul dupdat
ediscl
osuresthatrelat
etocondi
ti
onsthatexi
stedatt
hereport
ing
peri
odt oref
lectanynewinf
ormationthatitrecei
vesaf
tert
hereport
ingperi
odaboutthose
condit
ions.
 Companiesmustdi
sclosethedatewhenthefinanci
alst
atement
swer eauthori
zedfori
ssue
andwhogav ethatauthor
izat
ion.Ift
heenterpri
se'
sowner sorothershavethepowert o
amendthefi
nanci
alstat
ementsafteri
ssuance,t
heenter
prisemustdiscl
osethatf
act.

--END--

10/
16-
12