Financial reporting · The commentary · Element

The explanations

Why the material variances happened.

The part

What it is

Materiality should be defined in advance, so the choice of what to explain is not made by whoever writes the commentary.

The explanation should say what happened rather than restating the number in words, which is the most common failure.

The smallest level

The attributes it carries

Each attribute is one of the framework’s shared types. What a date is, and how it is written, is defined once for the whole model — the note here says what it means in this particular place.