11-03-2003, 08:04 AM
Hi Zubair and Raza!
Good Zubair that we are on same wave length. I wonder if we went to same school!!!
Raza, your most recent post does explain the facts more clearly. Unfortunately, IAS 10 also support the view of ur auditor (if he cann't explain the rationale behind his opinion, classify it as "Teer or Tuka").
Now IAS 10 has situations which require us to adjust the b/s date amounts or not to adjust.
If an event occur that gives evidence of condition that existed at the balance sheet date, adjusting is required.
If an event occur that gives evidence of condition that arose after the balance sheet date, adjustment should not be made to b/s values.
Your sale price after the date of b/s doesn't give evidence or support to the conditions that existed at b/s date. It gives evidence of conditions that arose after the b/s date.
If it does give evidence of former, tell me how? and i will concur with you. Therefore, price subsequent to b/s date is not adjusting event.
Take care.
Good Zubair that we are on same wave length. I wonder if we went to same school!!!
Raza, your most recent post does explain the facts more clearly. Unfortunately, IAS 10 also support the view of ur auditor (if he cann't explain the rationale behind his opinion, classify it as "Teer or Tuka").
Now IAS 10 has situations which require us to adjust the b/s date amounts or not to adjust.
If an event occur that gives evidence of condition that existed at the balance sheet date, adjusting is required.
If an event occur that gives evidence of condition that arose after the balance sheet date, adjustment should not be made to b/s values.
Your sale price after the date of b/s doesn't give evidence or support to the conditions that existed at b/s date. It gives evidence of conditions that arose after the b/s date.
If it does give evidence of former, tell me how? and i will concur with you. Therefore, price subsequent to b/s date is not adjusting event.
Take care.
