OpenTuition | ACCA | CIMA

Free ACCA and CIMA on line courses | Free ACCA, CIMA, FIA Notes, Lectures, Tests and Forums

“True and fair” definitions

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AA Exams › “True and fair” definitions

  • This topic has 3 replies, 2 voices, and was last updated 1 month ago by Kim Smith.
Viewing 4 posts - 1 through 4 (of 4 total)
  • Author
    Posts
  • September 12, 2020 at 6:09 pm #585374
    James

    Hi, just a quick query please. Is it possible for accounts to be a ‘fair’ record but not a ‘true’ one?

    I’m thinking for example of a situation where a payable for $5000 is wrongly included in the accounts when it should be omitted, and meanwhile a separate payable for $5000 is wrongly omitted when it should be included.

    Or do records have to be ‘true’ before they even get to be considered for the ‘fair’ test?

    Thanks

    September 13, 2020 at 8:23 am #585410
    Kim Smith
    Keymaster

    I suppose an amount could be not sufficiently accurate (i.e. not true) but fairly presented – e.g. as PPE rather than expensed in profit or loss. This would tie in with the “true and fair” being equivalent to “fairly presents (i.e. fair) in all material respects (i.e.accurate)”.

    September 13, 2020 at 9:34 am #585424
    James

    Okay, thanks a lot.

    September 13, 2020 at 12:15 pm #585444
    Kim Smith
    Keymaster

    You’re welcome!

  • Author
    Posts
Viewing 4 posts - 1 through 4 (of 4 total)
  • The topic ‘“True and fair” definitions’ is closed to new replies.