Reasons for Change in Presentation

Reasons for Change in Presentation

 Change in presentation is allowed due to more appropriate presentation, disposal or acquisition of business and regulatory requirement.

1.    More Appropriate

Change in presentation may result in more appropriate & logical presentation. It means that new presentation would be more relevant to user information needs.

2.    Disposal or Acquisition

Change in presentation may also be result due to disposal of substantial portion of business operations. An acquisition of new business (operation) may also require change in presentation.

3.    Regulatory Requirement

Change in presentation may be due to regulatory requirement. In this case entity has no option other than to apply change as required by regulator of the country.

4.    International Accounting Standard

International accounting standard may also require change in presentation. Management is supposed to comply the requirement of international accounting standard.