ISCA’s Illustrative Financial Statements (IFS) 2019 was published on 3 January 2020. At the time of publication, although the first cases of the Coronavirus Disease (COVID-19) had surfaced, it had yet to become a global pandemic with significant impact to business activities and economic conditions. Hence it was not considered in the preparation of IFS 2019.
The ISCA’s Quality Assurance Team has prepared this Addendum to the IFS 2019 to provide guidance to entities with a 31 December 2019 financial reporting date on the subsequent events disclosures that may be required arising from the COVID-19 outbreak.
This Addendum provides some considerations and illustrations of disclosures when an entity determines the COVID-19 events to be material non-adjusting events.
About this publication:
This publication is an illustrative financial statements (IFS) of a Singapore-incorporated company, ABC Pte. Ltd., prepared in accordance with:
- Financial Reporting Standards in Singapore (FRSs)
- Singapore Companies Act, Chapter 50 (CA)
The IFS serve to provide an illustration of the annual financial statements of a company whose principal activities are those of trading. The disclosures contained in these IFS are made based on a hypothetical entity and certain assumptions have been made about the applicability of the disclosures required by FRSs.
The IFS are designed to capture a wide set of circumstances and transactions, and in enhancing the relevance of the IFS, all minimum disclosure requirements of FRSs are complied with, generally without considering materiality. Also, since the IFS are prepared based on a fictitious entity, assessing materiality is not possible in some circumstances. This set of IFS is a helpful enabler for entities preparing financial statements under FRSs, but its illustrative nature must be appreciated.
The names of people and entities included as illustrations are fictitious. Any resemblance to any person or business is purely coincidental.