An independent valuation of property conducted on 29 July 2021 revealed that the directors' valuation included in the 30 June 2020 financial statements was overstated by $400 000. The financial statements for the year ended 30 June 2020 were expected to be finalised by 31 August 2020. In accordance with AASB 110Events after the Reporting Period, the appropriate treatment regarding this event is to:

Disclose as a note to the financial statements, as it is an adjusting event.

Do nothing as the event has occurred after the end of the reporting period.

Disclose as a note to the financial statements, as it is a non-adjusting event.

Adjust the financial statements, as it is an adjusting event.