CERTYNEX IFRS ACADEMY

The financial effect of a material non-adjusting event cannot be estimated at the authorisation date. What must the entity do?

Describe the event and state that its effect cannot be estimated.

Delay authorisation of the accounts until an estimate is possible.

Recognise a flat-rate provision at 31 December, in the absence of a precise estimate.

Disclose nothing until a reliable estimate of the effect is available.