Accounting. Disclosure and change in accounting policies (most important)

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Accounting. Disclosure and change in accounting policies (most important)

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76. Disclosure and change in accounting policies

Organizations should disclose the accounting policies adopted in the formation accounting methodsthat significantly affect the assessment and decision-making by interested users of financial statements.

Accounting methods are recognized as essential., without knowledge of the application of which by interested users of financial statements, it is impossible to reliably assess the financial position, cash flow or financial results of the organization.

To the methods of accounting include methods for depreciation of fixed assets, intangible assets and other assets, valuation of inventories, goods, work in progress and finished products, recognition of profit from the sale of products, goods, works, services and other methods.

In the case of publication of financial statements not in full, information on accounting policies is subject to disclosure, at least in the part directly related to the published materials.

If, in preparing the financial statements, there is a significant uncertainty about events and conditions that may cast significant doubt on the applicability of the going concern assumption, then the entity should identify such uncertainty and unambiguously describe what it is associated with.

Significant methods of accounting are subject to disclosure in the explanatory note included in the financial statements of the organization for the reporting year.

Interim financial statements may not contain information about the accounting policy of the organization, if the latter has not changed since the preparation of the annual financial statements for the previous year, which disclosed the accounting policy.

The accounting policy of an organization may change in the following cases:

1) changes in the legislation of the Russian Federation or regulations;

2) development by the organization of new methods of accounting;

3) a significant change in the conditions of activity (reorganization, change of owners, change in types of activity, etc.).

Not recognized as a change in accounting policy approval of the method of accounting for the facts of economic activity, which are essentially different from the facts that occurred earlier, or arose for the first time in the activities of the organization.

The change in accounting policy must be justified and completed in the prescribed manner.

Consequences of a change in accounting policy valued in monetary terms. Estimation in monetary terms of the consequences of changes in accounting policies is made on the basis of data verified by the organization as of the date from which the changed method of accounting is applied.

The reflection of the consequences of a change in accounting policy consists in adjusting the relevant data included in the financial statements for the reporting period for the periods preceding the reporting period.

When an estimate in monetary terms of the consequences of a change in accounting policy in relation to periods preceding the reporting period cannot be made with sufficient reliability, the changed method of accounting is applied to the relevant facts of economic activity that occurred only after the introduction of such a method.

Author: Kabkova E.N.

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