General purpose financial statements
General purpose financial statements provide financial information about a reporting entity to a broad range of primary users, especially existing and potential investors, lenders and other creditors. They portray recognised assets, liabilities, equity, income and expenses and include relevant notes. Their content and presentation follow applicable reporting requirements; they do not purport to meet every information need of every user.
Worked example
A company publishes a statement of financial position, performance statements, cash flows, changes in equity and notes for investors and lenders. A bank may also request a separate private report.
Common mistake
Assuming general purpose statements are designed for one particular user, or that they eliminate the need for judgement and additional information.
Where it appears in your exams
| Qualification | Exam | Relationship | Period |
|---|---|---|---|
| ACCA | FR | Direct | September 2026–June 2027 |
| ACCA | SBR | Direct | September 2026–June 2027 |