IAS 34 · Workpapers (Step 4 of 5)
Workpaper assignment
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Content of an interim report: components, headings and subtotals, periods presented, year-to-date from the quarters and notes on significant events: Carrying amount of goodwill
File on a half-year financial report: content and headings, year-to-date measurement, income tax at the estimated annual rate, change in policy and impaired goodwill (IAS 34)
Section 1 of 7
Objective
Section brief
- What to document
- The engagement, its scope and the working mode chosen.
- Why
- A workpaper answers one precise question: framing it avoids off-topic work.
- How
- Read the objective and the assignment, then choose the mode (guided, semi-guided, professional).
- Expected result
- You know which question the workpaper must settle, and for which reporting date.
- Your role
- Preparer of the IAS 34 workpaper
- Level
- Expert
- Estimated time
- ≈ 60 min
- Progress
- 0 / 3 steps done (review excluded)
Context
Altavia SA (fictitious entity), a maker of packaging machines, closes its accounts on 31 December and publishes a condensed report at the end of each quarter. The preparer builds the file of the 20X6 half-year report (period ended 30 June 20X6) submitted to a review check: content and headings of the condensed statement, year-to-date amount of the quarters, change in accounting policy on raw materials and restatement of the first quarter, income tax at the estimated annual effective rate revised in the second quarter, goodwill impairment loss and the question of its reversal at the annual closing. Teaching simulation: the review trail of the file (preparation, reviewer notes and final sign-off) is simulated for demonstration purposes; it is neither a real review nor a validation of the content.
Assignment
Content of the report, headings and goodwill
Purpose of the workpaper
Record the components of the report, the headings and subtotals of the latest annual statements and of the condensed statement, the periods and comparatives presented for each statement and the events of the period since the last annual period. Then check each point of the list, compute the year-to-date amount from the quarterly amounts and judge whether the events are significant for the notes. The facts are case data; each conclusion remains a supported judgment and no numeric threshold is imposed.
Questions of the file covered by this workpaper
- Does the draft contain the minimum components and keep each heading and subtotal of the annual income statement?
- Compute the carrying amount of goodwill after the impairment loss and the control difference with the annual projection.
- Which information is to be prepared for the notes of the half-year report?
Documents in the file
Open the documents to pick out the relevant information.