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Is there any case where there are NOT ADJUSTING events but the management has to amend the FS(not just disclosure)?
What if event occurred after balance sheet date but it will result in Going Concern assumption hit, then we should at least make intended users of Financial statement aware of the situation by letting them know using Other Matter paragraph and referring to then Notes the account where this is mentioned?
Explain and clear where I am stuck and having issue?You would let them know in an Emphasis of Matter para which refers to a note explaining the problem. However, the Income statement and SOFP would not be adjusted – a note should be added. When I said Non-adjusting = do not adjust FS, I mean do not change the face of the SOFP of income statement. Important events after the end of the reporting period, if non-adjusting, should be displayed by way of note and Emphasis of matter
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