In Relation to 'Retained Earnings', AASB 101 Mandates the Following

question 21

Multiple Choice

In relation to 'retained earnings', AASB 101 mandates the following disclosures:
I. Any changes during the reporting period.
II. The related tax adjustments in respect to any changes during the period.
III. The beginning balance.
IV. The balance at reporting date.

• A) I, II, III and IV;
• B) II, III and IV only;
• C) I, III and IV only;
• D) III and IV only.

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Definitions:

Rationalization

The process of providing a logical, plausible, and socially acceptable explanation for behaviors that might otherwise be perceived as irrational.

Defence Mechanism

Psychological strategies brought into play by individuals, groups, or even nations to cope with reality and maintain self-image.

Identification

The process of recognizing and acknowledging something or someone as being a specific person or thing.

Inferiority

A feeling of being less than, not as important, or lacking in some way compared to others, which can impact an individual's self-esteem and overall psychological well-being.