The Statement of Changes in Equity Is Required

question 36

Multiple Choice

The statement of changes in equity is required.

• A) Because AASB 101 deals with income and does not define profit.
• B) To show profit and loss for the period.
• C) To summarise the large number of transactions that take place on the income statement.
• D) To show each item of income and expense for the period that is recognised directly in equity as required by other AASB standards.
• E) To provide a reconciliation of opening and closing equity, and also to provide details of the various equity accounts that are impacted by the period's total comprehensive income.

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