Published Paper Details:

In order to increase transparency, reliability and relevance of financial statements, companies are required to adopt Ind As in phased manner. Transition to Ind AS from previous GAAPs have resulted in to change in Net worth and net profit of company at point of transition due to several differences between Ind AS and AS. Present paper is an attempt to analyze the impact of Transition from AS to Ind AS on the operating performance and financial position of the sample company Larsen and Toubro ltd [L&T ltd]. The analysis is carried out on financial statements provided by the sample company based on Ind AS for the year 2016-17 as well as the comparative data provided for the year 2015-16. The study includes the analysis of the impact of various components of statement of Profit and Loss and Balance sheet viz revenue, operating expenses, finance cost, taxes , noncurrent assets, current assets, noncurrent liabilities, current liabilities on Net Profit and Net worth of the sample company. Component wise analysis exhibits that there is overall increase in Revenue, Operating expenses, Finance cost whereas decrease is observed in case of tax expense. The component wise analysis of Balance sheet items as on 1st April 2015 and 31st March 2016 depicts that there is increase in Noncurrent assets, current assets and current liabilities whereas decrease is observed in Noncurrent liabilities on adoption of Ind AS. Finally, it is noticed that there is decline in Net profit on transition to Ind AS whereas increase is observed in case of Net worth on 1st April 2015 and 31st March 2016.