CERTYNEX IFRS ACADEMY

Internal note at Gandore: 'The deliberate error of 8,000 on accrued expenses lets us report a profit; it is immaterial, so it has no consequence for compliance.' Where is the mistake?

An immaterial error made intentionally to achieve a particular presentation makes the statements non-compliant.

There is no mistake: only the amount matters.

An amount of 8,000 is always material.

The error should have been corrected in the following year's comparatives.