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      Question

      Which event would be treated as an adjusting event after

      reporting period under Ind AS 10?
      A Change in tax law enacted after reporting date (non-adjusting unless it provides evidence of conditions existing at reporting date) Correct Answer Incorrect Answer
      B Receipt of information after reporting date about conditions that existed at reporting date (e.g., settlement of litigation) — adjusting Correct Answer Incorrect Answer
      C Declaration of dividends after reporting date — non-adjusting (but disclose) Correct Answer Incorrect Answer
      D Major business combination after reporting date — non-adjusting Correct Answer Incorrect Answer
      E All of C and D only Correct Answer Incorrect Answer

      Solution

      Adjusting events provide evidence of conditions existing at reporting date and require adjustment.

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