Get Transition Report 2006 IFRS Comparatives

Comparative information represents the amounts and disclosures included in the consolidated annual accounts for one or more previous periods, and provides the users with information necessary to identify trends and changes affecting an entity over a period of time.

A comparative statement is a document used to compare a particular financial statement with prior period statements. Previous financials are presented alongside the latest figures in side-by-side columns, enabling investors to identify trends, track a company's progress and compare it with industry rivals.

One year of comparatives is required for all numerical information in the financial statements, with limited exceptions for certain disclosures.

Converting between US GAAP and IFRS involves a number of steps, including: Conversion approach. Accounting policy. Data gaps. Conversion adjustments. GAAP reconciliation. System and process changes. Financial reporting. Conversion audit.

A standalone statement represents a company's financial performance as a single entity, while a consolidated statement reports a company's financial performance on the whole. It includes information about its associate companies, subsidiary companies, and joint ventures.

Common-size financial statements present all the financial items under their head in percentage terms. While the Comparative financial statements present the financial data for numerous years side by side. This data is to be presented in the form of absolute values, percentages, or both.

Financial Statements A comparative statements shows changes between a current period and a previous period. This statement also displays percentages. On the other hand, a single-date statement does not include percentages and it shows financial information for one date or a year.

Horizontal analysis is a financial analysis technique used to evaluate a company's performance over time. By comparing prior-period financial results with more current financial results, a company is better able to spot the direction of change in account balances and the magnitude in which that change has occurred.