For a private company reporting under ASPE, adjusting entries must be prepared at least quarterly.

Question

Quizplus · Accepted Answer

Under Accounting Standards for Private Enterprises (ASPE) in Canada, there is no specific requirement that adjusting entries must be prepared quarterly. Adjusting entries are typically prepared as part of the year-end closing process to ensure that the financial statements are accurate and complete, but the frequency can vary based on company policy or specific circumstances.

For a Private Company Reporting Under ASPE, Adjusting Entries Must