The outbreak of COVID-19 has affected not just the health of
people but also the health of businesses across the globe. This
crisis has affected most companies either directly or indirectly
belonging to sectors such as healthcare, finance, real estate,
motor vehicles, pharmaceuticals, etc. The economic uncertainty has
caused a significant impact on financial reporting due to increased
market risks including an overall reduction in demand and
production shutdown post mid – March 2020.
For the preparation of interim financial statements for the
quarter ending June 2020 and onwards, and financial statements as
of December 2020, businesses need to evaluate the impact of
COVID-19 on Accounting and Financial reporting, depending upon the
facts and circumstances as well as the extent of exposure.
