Illustrative Financial Statements - Deloitte

1 Illustrative Financial Statements 2017 GAAP Singapore Ltd and its subsidiaries (Registration No. 200001999A) Directors statement and Financial Statements Year ended December 31, 2017 Preface i Scope This publication provides a set of sample Financial Statements of a fictitious group of companies. GAAP Singapore Ltd is a company incorporated in Singapore and its shares are listed on the Main Board of the Singapore Exchange Securities Trading Limited ("SGX-ST"). The names of people and entities included in this publication are fictitious.

2 Any resemblance to a person or entity is purely coincidental. GAAP Singapore Ltd is assumed to have presented its Financial Statements in accordance with Financial Reporting Standards in Singapore ( FRS ) for a number of years. Effective date The Illustrative Financial Statements include the disclosures required by the Singapore Companies Act, SGX-ST Listing Manual, and FRSs and INT FRSs that are issued at the date of publication (August 31, 2017). Illustrative in nature The sample disclosures in this set of Illustrative Financial Statements should not be considered to be the only acceptable form of presentation.

3 The form and content of each reporting entity's Financial Statements are the responsibility of the entity's directors and management, and other forms of presentation which are equally acceptable may be preferred and adopted, provided they include the specific disclosures prescribed in the Singapore Companies Act, SGX-ST Listing Manual, and FRSs and INT FRSs. For the purposes of presenting the statement of profit or loss and other comprehensive income, and statement of cash flows, the various alternatives allowed under FRSs for those Statements have been illustrated.

4 Preparers of Financial Statements should select the alternatives most appropriate to their circumstances. The Illustrative Financial Statements contain general information and are not intended to be a substitute for reading the legislation or accounting standards themselves, or for professional judgement as to adequacy of disclosures and fairness of presentation. They do not encompass all possible disclosures required by the Singapore Companies Act, SGX-ST Listing Manual, and FRSs and INT FRSs. Depending on the circumstances, further specific information may be required in order to ensure fair presentation and compliance with laws and accounting standards and securities exchange regulations in Singapore.

5 Guidance notes Direct references to the source of disclosure requirements are included in the reference column on each page of the Illustrative Financial Statements . Guidance notes are provided where additional matters may need to be considered in relation to a particular disclosure. These notes are inserted within the relevant section or note. The Illustrative Financial Statements are prepared by the Professional Practice Department of Deloitte & Touche LLP in Singapore ( Deloitte Singapore ) for the use of clients and staff and are written in general terms.

6 Accordingly, we recommend that readers seek appropriate professional advice regarding the application of its contents to their specific situations and circumstances. The Illustrative Financial Statements should not be relied on as a substitute for such professional advice. Partners and professional staff of Deloitte Singapore would be pleased to advise you. While all reasonable care has been taken in the preparation of these Illustrative Financial Statements , Deloitte Singapore accepts no responsibility for any errors it might contain, whether caused by negligence or otherwise, or for any loss, howsoever caused, incurred by any person as a result of relying on it.

7 Abbreviations used References are made in this publication to the Singapore Companies Act, Singapore accounting pronouncements, guidelines and SGX-ST listing rules that require a particular disclosure or accounting treatment. The abbreviations used to identify the source of authority are as follows: Alt Alternative App Appendix CA Singapore Companies Act CCG Code of Corporate Governance FRS Financial Reporting Standards in Singapore IAS International Accounting Standards IFRS International Financial Reporting Standards INT FRS Interpretation of Singapore Financial Reporting Standards LM Singapore Exchange Securities Trading (SGX-ST)

8 Listing Manual RAP Recommended Accounting Practice Sch Schedule SSA Singapore Standards on Auditing Summary of key changes from the 2016 version of the Illustrative Financial Statements Illustrative Financial Statements 2017 ii This section covers: an overview of new and revised FRSs that are mandatorily effective for the year ending December 31, 2017; and an overview of new and revised FRSs that are not yet mandatorily effective but allow early application for the year ending December 31, 2017.

9 For this purpose, the discussion below reflects a cut-off date of August 31, 2017. The potential impact of the application of any new and revised FRSs and INT FRSs issued after August 31, 2017 but before the Financial Statements are issued should also be considered and disclosed. Note: Appendix A contains sample disclosures required by FRS on new/revised FRSs, INT FRSs and amendments to FRSs that may be relevant to an entity that were issued but are not effective at the date of authorisation of the Financial Statements .

10 The disclosures are purely for Illustrative purposes and may not be relevant to GAAP Singapore Ltd for the year ended December 31, 2017. Amendments mandatorily effective for the year ending December 31, 2017 The following is a summary of the new and revised FRSs that are mandatorily effective for the annual periods beginning on or after January 1, 2017. Amendments to FRS 7 Statement of Cash Flows: Disclosure Initiative Amendments to FRS 12 Income Taxes: Recognition of Deferred Tax Assets for Unrealised Losses Amendments to FRS 112 Disclosure of Interests in Other Entities: Improvements to FRSs (December 2016) Amendments to FRS 7 Statement of Cash Flows.