Additional disclosures

41 An entity shall disclose the following information in the notes in the period in which a
non-current asset (or disposal group) has been either classified as held for sale or
sold:
(a) a description of the non-current asset (or disposal group);
(b) a description of the facts and circumstances of the sale, or leading to the
expected disposal, and the expected manner and timing of that disposal;
(c) the gain or loss recognised in accordance with paragraphs 20–22 and, if not
separately presented in the statement of comprehensive income, the caption
in the statement of comprehensive income that includes that gain or loss;
(d) if applicable, the reportable segment in which the non-current asset (or
disposal group) is presented in accordance with IFRS 8 Operating
Segments.

Techniques for the measurement of cost

21 Techniques for the measurement of the cost of inventories, such as the standard cost
method or the retail method, may be used for convenience if the results
approximate cost. Standard costs take into account normal levels of materials and
supplies, labour, efficiency and capacity utilisation. They are regularly reviewed and,
if necessary, revised in the light of current conditions.

Reporting cash flows from operating activities

18 An entity shall report cash flows from operating activities using either:
(a) the direct method, whereby major classes of gross cash receipts and
gross cash payments are disclosed; or
(b) the indirect method, whereby profit or loss is adjusted for the effects of
transactions of a non-cash nature, any deferrals or accruals of past or
future operating cash receipts or payments, and items of income or
expense associated with investing or financing cash flows.
19 Entities are encouraged to report cash flows from operating activities using the direct
method. The direct method provides information which may be useful in estimating
future cash flows and which is not available under the indirect method. Under the
direct method, information about major classes of gross cash receipts and gross
cash payments may be obtained either:
(a) from the accounting records of the entity; or
(b) by adjusting sales, cost of sales (interest and similar income and interest
expense and similar charges for a financial institution) and other items in the
statement of comprehensive income for:
(i) changes during the period in inventories and operating receivables and
payables;
(ii) other non-cash items; and
(iii) other items for which the cash effects are investing or financing cash
flows.
 DISCLOSURE
Changes in accounting policies
.34 When initial application of a primary source of GAAP has an effect on the current
period or any prior period or would have such an effect except that it is impracticable
to determine the amount of the adjustment, an entity shall disclose:
(a) the title of the primary source of GAAP;
(b) when applicable, that the change in accounting policy is made in
accordance with its transitional provisions;
(c) the nature of the change in accounting policy;
(d) when applicable, a description of the transitional provisions;
(e) for each prior period presented, to the extent practicable, the amount of the
adjustment for each financial statement line item affected;
(f) the amount of the adjustment relating to periods before those presented, to the
extent practicable; and
(g) if retrospective application required by paragraph 1506.10(a) or (b) is
impracticable for a particular prior period, or for periods before those
presented, the circumstances that led to the existence of that condition and a
description of how and from when the change in accounting policy has
been applied.
Financial statements of subsequent periods need not repeat these disclosures.[Former
paragraph 1506.34 retained in Archived Pronouncements.]
.35 When a voluntary change in accounting policy has an effect on the current period or
any prior period or would have an effect on that period except that it is impracticable
to determine the amount of the adjustment, an entity shall disclose:
(a) the nature of the change in accounting policy;
(b) the reasons why applying the new accounting policy provides reliable and
more relevant information (see paragraph 1506.06), unless an accounting
policy choice was allowed under the Sections listed in paragraph 1506.09,
in which case the entity shall explain why it made the accounting
policychoice;
(c) for each prior period presented, to the extent practicable, the amount of the
adjustment for each financial statement line item affected;
(d) the amount of the adjustment relating to periods before those presented, to
the extent practicable; and
(e) if retrospective application is impracticable for a particular prior period, or for
periods before those presented, the circumstances that led to the existence
of that condition and a description of how and from when the change
in accounting policy has been applied.
Financial statements of subsequent periods need not repeat these disclosures.[Former
paragraph 1506.35 retained in Archived Pronouncements.]