Keep one log of events after the balance sheet date. Enter the balance sheet date and the date of your report, then paste each event with the date it happened, the date you learned of it, an estimated amount and your own assessment as adjusting or non-adjusting. The tool places each event on the timeline and lists what still needs a decision.
Paste from Excel or CSV. Put commas inside an event description in quotes. Leave Assessment blank where you have not decided.
Whether an event is adjusting depends on whether it gives evidence of conditions that existed at the balance sheet date. That is your judgement under the current standards. This tool only organises the log.
| Event | Event date | Identified | Amount | Where it falls | Follow-up |
|---|---|---|---|---|---|
| Customer insolvency (large debtor) | 2020-04-12 | 2020-05-18 | 6,40,000.00 | Before the balance sheet date | Event dated on or before the balance sheet date: check whether it belongs in the period itself |
| Fire at second warehouse | 2020-05-22 | 2020-05-25 | 18,00,000.00 | Before the balance sheet date | Event dated on or before the balance sheet date: check whether it belongs in the period itself |
| Court order on the tax dispute | 2020-06-08 | 2020-06-10 | 9,50,000.00 | Before the balance sheet date | Event dated on or before the balance sheet date: check whether it belongs in the period itself; Not yet assessed as adjusting or non-adjusting |
| Dividend declared by the board | 2020-05-28 | 2020-05-28 | 4,00,000.00 | Before the balance sheet date | Event dated on or before the balance sheet date: check whether it belongs in the period itself |
| Price cut on closing stock | 2020-03-15 | 2020-05-20 | 2,10,000.00 | Before the balance sheet date | Event dated on or before the balance sheet date: check whether it belongs in the period itself |
| Loan refinanced | 2020-07-18 | 2020-07-19 | - | Before the balance sheet date | Event dated on or before the balance sheet date: check whether it belongs in the period itself; Not yet assessed as adjusting or non-adjusting; No amount estimated |
Events between the balance sheet date and the report date can change the numbers or need disclosure. Events that come to light after the report need a different response. Keeping one dated log of each event, when you learned of it and what you concluded makes the completion file easy to review and shows the work was done up to the report date.
You enter the balance sheet date and the date of your report. Each event is placed on one side of those dates, or before the balance sheet date if it was dated too early.
You supply the assessment of adjusting or non-adjusting and an estimated amount. The tool totals each group and lists events that have no assessment or no amount.
Events dated after the report date, or found after it, are marked so they get a separate look.
A debtor of 6,40,000 becomes insolvent on 12 April. Year end is 31 March and the report is dated 5 June. You assess it as adjusting.
