Financial review by management:
Many entities present, outside the financial statements, a financial review by management that describes and explains the main features of the entity’s financial performance and financial position, and the principal uncertainties it faces. Such a report may include a review of:
(a) the main factors and influences determining financial performance, including changes in the environment in which the entity operates, the entity’s response to those changes and their effect, and the entity’s policy for investment to maintain and enhance financial performance, including its dividend policy;
(b) the entity’s sources of funding and its targeted ratio of liabilities to equity; and
(c) the entity’s resources not recognized in the balance sheet in accordance with Ind ASs.
Other Reports and statements:
14 Many entities also present, outside the financial statements, reports and statements such as environmental reports and value added statements, particularly in industries in which environmental factors are significant and when employees are regarded as an important user group.
Reports and statements presented outside financial statements are outside the scope of Ind ASs.