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ok, i know the definition of adjusting events and non adjusting events which is
ADJUSTING EVENTS are those which provide evidence of the conditions existing at the reporting date.
NON ADJUSTING EVENTS are those which are indicative of conditions that arose after the reporting period.but how to apply these concepts..everytime i try to solve an adjustment related to these greatly confuse me.for ex. a subsidiary is sold at a loss after the r.p and had made losses in that period, share options vest on reporting date but are paid after the reporting period.plz provide me the treatment of these kind of adjustments with reference to the definitions so that i can understand the application process.
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In case of share options vest the event was known at the reporting date therefore provision is required to be made in the current year irrespective of its payment.
The sale of subsidiary at loss was an unadjusting event but disclosure is required to be made
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