Module 5
Module 5
Objective of PAS 34
The objective of PAS 34 is to prescribe the minimum content of an interim
financial report and to prescribe the principles for recognition and mea-
surement in financial statements presented for an interim period.
Key definitions
Accounting policies
The same accounting policies should be applied for interim reporting as
are applied in the entity's annual financial statements, except for
accounting policy changes made after the date of the most recent annual
financial statements that are to be reflected in the next annual financial
statements. [PAS 34.28]
Measurement
Measurements for interim reporting purposes should be made on a year-
to-date basis, so that the frequency of the entity's reporting does not affect
the measurement of its annual results. [PAS 34.28]
Materiality
In deciding how to recognise, measure, classify, or disclose an item for
interim financial reporting purposes, materiality is to be assessed in
relation to the interim period financial data, not forecast annual data. [PAS
34.23]
Summary: