COVID-19 has impacted businesses, not-for-profit organizations, pension funds, public sector entities and financial markets. As countries work to contain the spread of the virus, the extent of its impact continues to evolve. A key consideration for Canadian entities will be the accounting implications and the potential impact the pandemic will have on their financial statements.
This article identifies specific points in key financial reporting areas that should be considered when determining the impact COVID-19 has had on an entity’s operations, financial position and disclosures in financial statements. These matters are critical for organizations that report under Accounting Standards for Private Enterprises (ASPE), Accounting Standards for Not-for-Profit Organizations (ASNPO), Accounting Standards for Pensions (ASPP) or Public Sector Accounting Standards (PSAS).