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IAS 8
Changes In Accounting Policies
(b) Voluntary change in accounting policy
• If the change in accounting policy is made to reflect more
relevant and reliable information (a voluntary change in
accounting policy), the change should be accounted for
retrospectively (IAS 8.19b).
(c) Retrospective application
• When a change in accounting policy is applied
retrospectively, the entity adjusts the opening balance of
each affected component of equity for the earliest prior
period presented and the other comparative amounts
disclosed for each prior period presented as if the new
accounting policy has always been applied (IAS 8.22).
