ASIC highlights important areas of focus for financial reporting

The Australian Securities and Investments Commission (ASIC) has released the results of its reviews of financial reports for the year ended 31 December 2010.

The findings of the review of 130 listed entities’ annual financial reports and disclosures have been used to highlight important areas of focus for boards and those responsible for preparing 30 June 2011 financial reports.

Some of the areas that ASIC identified it will continue to focus on are:

• Segment reporting
• Consolidation of controlled entities
• Asset impairment.

Other focus areas are material disclosures such as key assumptions, sources of estimation uncertainty and key components of statutory profit.

More Information

The Institute of Chartered Accountants Australia has prepared an Essential Guidance for the June 2011 reporting season, which highlights 10 key issues for preparers, auditors and audit committees to take into consideration for the upcoming reporting period.

To discuss your individual situation with one of our audit professionals, contact us today on 3490 9988.