Objective of the disclosures

Learning objectives

• Explain the objective of the disclosures about business combinations (nature and financial effect) and the period concerned.L2

Normative references

• IFRS 3 §59Disclosure objective: the acquirer discloses information that enables users to evaluate the nature and financial effect of a business combination that occurs during the reporting period or after the end of the reporting period but before the financial statements are authorised for issue.
• IFRS 3 §60To meet this objective, the acquirer discloses the information specified in paragraphs B64 to B66.

Original summaries of the paragraphs (reference register), never a quotation of the standard.

3 questions

• Which statements about the objective of the disclosures on a business combination are correct? More than one answer is possible.L2
• Mirabelle SA closes its accounts on 31 December N; they will be authorised for issue on 10 March N+1. It carries out a business combination on 15 January N+1. Justify in a few lines whether, and why, the financial statements for N must contain information about this business combination.L2
• What is the scope of the information the acquirer discloses about adjustments to a business combination?L3