Preparers of financial statements are now having to think about how, where and what form they should report COVID-19 in their financial statements. We believe it is important to not only comply with the guidance set out in IFRS, but also ensure the financial statements are an effective part of the wider communication with stakeholders.

In this article 'Considerations when preparing financial statements and using alternative performance measures' we set out various ways to enhance communication on how the pandemic has impacted the financial position and performance of any reporting entity. These include sensitivity analysis, the use of alternative performance measures and changing line items that have previously been disclosed within the financial statements.

The full article includes:

• What do entities need to consider when adding new disclosures?
• Given the uncertainty, should sensitivity measures be included?
• When should an entity present additional line items and subtotals?
• What should an entity do if it intends to introduce a 'new' alternative performance measures?
• How can alternative performance measures be used to reflect the impact of the COVID-19 pandemic?
• How can communication be kept clear, and why is it so important?
• Should the 'incremental' consequences of COVID-19 be assessed?
• Will there be a level of accountability for APMs?