What are Accruals for Expenses?
The accruals principle states that expenses must be recorded in the period in which they were incurred, regardless of when they were paid. This becomes especially important around the year …
What Do Auditors Do?
The primary job of an auditor is to ensure that the financial statements of a company are free from “material misstatement”. But what does this actually mean? The basic meaning …
What are Financial Statements?
A company’s financial statements are a group of reports that show its financial performance and general business activity over a particular period of time. The financial statements are intended to …
What is an Audit Walkthrough?
External auditors often carry out what are known as walkthroughs while they complete their fieldwork. They involve the auditors spending time sat with members of the finance team and perform …
What are the Journal Entries for IFRS 16?
Under IFRS 16, the main items that will appear on the balance sheet are a “right of use asset” and a lease liability. However, it is also important to understand how to calculate the related interest payments for the lease at each payment interval as well as the depreciation amounts.