An entity should provide both quantitative and qualitative disclosures that enable users of the financial statements to evaluate the nature and extent of risks from financial instruments to which the entity is exposed at the end of the reporting period.

Question

Quizplus · Accepted Answer

This statement aligns with the principles outlined in various accounting standards, such as IFRS 7 Financial Instruments: Disclosures, which requires entities to provide disclosures that allow users to understand the risk exposures related to financial instruments and how those risks are managed.

An Entity Should Provide Both Quantitative and Qualitative Disclosures That