If non-adjusting events after the reporting date are material,non-disclosure could influence the economic decisions that users make based on the financial statements.

Question

Quizplus · Accepted Answer

Non-adjusting events after the reporting date can have a material impact on the financial position of a company and non-disclosure may lead users to make incorrect economic decisions based on the financial statements. Therefore, it is important for companies to disclose any material non-adjusting events that occur after the reporting date.

If Non-Adjusting Events After the Reporting Date Are Material,non-Disclosure Could