Question
1. The following is the schedule for the completion of the financial statements of Alves Bhd: Financial year ended 31 Dec. 2020 Completion of audit.
1. The following is the schedule for the completion of thefinancial statements of Alves Bhd:
Financial year ended
31 Dec. 2020
Completion of audit.
30 Jan. 2021
Approval of the issue of the FSby the board of directors
15 Feb.2021
Announcement of results &other selected information tothe public.
21 Feb.2021
Audited FS made available toshareholders.
28 Feb.2021
FS adopted by the shareholdersat annual general meeting.
3 Mar.2021
Filing of FS with CompaniesCommission of Malaysia.
5 Mar.2021
Required:
Explain the impact of the following events in the financial statements of Alves Bhd for the year ended 31Dec. 2020 in accordance with MFRS110 Events Afterthe Reporting Period.
a) The market value of investments classified as fair value to other comprehensive income has declined byRM12 million at 3 January 2021 and by another RM15million at 31 January 2021.
b) The company provided RM20,000 in the financial statements for the year ended 31 December 2020 for compensation payable to an employee for breach/breaking of contractual terms pending the result of a court hearing. On 18 January 2021, the court ruled in favour of the employee and ordered the company to pay RM25,000. The company intends to appeal against the judgement.
1. The following is the schedule for the completion of thefinancial statements of Alves Bhd:
Financial year ended | 31 Dec. 2020 |
Completion of audit. | 30 Jan. 2021 |
Approval of the issue of the FSby the board of directors | 15 Feb.2021 |
Announcement of results &other selected information tothe public. | 21 Feb.2021 |
Audited FS made available toshareholders. | 28 Feb.2021 |
FS adopted by the shareholdersat annual general meeting. | 3 Mar.2021 |
Filing of FS with CompaniesCommission of Malaysia. | 5 Mar.2021 |
Required:
Explain the impact of the following events in the financial statements of Alves Bhd for the year ended 31Dec. 2020 in accordance with MFRS110 Events Afterthe Reporting Period.
a) The market value of investments classified as fair value to other comprehensive income has declined byRM12 million at 3 January 2021 and by another RM15million at 31 January 2021.
b) The company provided RM20,000 in the financial statements for the year ended 31 December 2020 for compensation payable to an employee for breach/breaking of contractual terms pending the result of a court hearing. On 18 January 2021, the court ruled in favour of the employee and ordered the company to pay RM25,000. The company intends to appeal against the judgement.
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Cost Management Measuring Monitoring And Motivating Performance
Authors: Leslie G. Eldenburg, Susan K. Wolcott
2nd Edition
978-0-470-7694, 0470769424, 978-0470769423
