A company's workforce went on strike for an indefinite period commencing on 5 August 2014.The strike was expected to cause severe financial conditions for the company.The financial statements for the year ended 30 June 2014 were expected to be finalised by 7 August 2014.In accordance with AASB 110 Events after the Reporting Period,the appropriate treatment regarding this event is:

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According to AASB 110, events after the reporting period can be adjusting or non-adjusting. If the event provides evidence of conditions that existed at the reporting date, it is an adjusting event and the financial statements need to be adjusted. However, if the event occurs after the reporting date, it is a non-adjusting event and should be disclosed in the notes to the financial statements. In this case, the strike occurred after the reporting date of 30 June 2014, so it is a non-adjusting event and should be disclosed in the notes to the financial statements as it may have a significant impact on the company's future financial position.

A Company's Workforce Went on Strike for an Indefinite Period