B.S.D CROWN LTD.
CONSOLIDATED FINANCIAL STATEMENTS
AS OF DECEMBER 31, 2020
B.S.D CROWN LTD. | |
CONSOLIDATED FINANCIAL STATEMENTS | |
AS OF DECEMBER 31, 2020 | |
IN NIS | |
TABLE OF CONTENTS | |
Page | |
Independent Auditor's Report | 2-7 |
Consolidated Statements of Financial Position | 8-9 |
Consolidated Statements of Profit or Loss and Other Comprehensive Income | 10 |
Consolidated Statements of Changes in Equity | 11-12 |
Consolidated Statements of Cash Flows | 13-14 |
Notes to Consolidated Financial Statements | 15-58 |
INDEPENDENT AUDITOR'S REPORT
To the shareholders of B.S.D. Crown Ltd.
Opinion
We have audited the accompanying consolidated financial statements of B.S.D. Crown Ltd. (the "Company") and its subsidiaries (the: "Group"), which comprise the statement of financial position as of December 31, 2020, the related statements of comprehensive income, changes in equity and cash flow for the year ended December 31, 2020, and notes to the financial statements, including a summary of significant accounting policies.
In our opinion, the accompanying consolidated financial statements present fairly, in all material respects, the consolidated financial position of the Company as of December 31, 2020, its financial performance and its cash flows for the year ended December 31, 2020 in accordance with International Financial Reporting Standards (IFRSs) as issued by the International Accounting Standard Board.
Basis for Opinion
We conducted our audit in accordance with International Standards on Auditing ("ISAs"). Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the consolidated financial statements section of our report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Independence
We are independent of the company in accordance with the International Ethics Standards Board for Accountants' Code of Ethics for Professional Accountants (IESBA Code) together with the ethical requirements that are relevant to our audit of the financial statements in Israel, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the IESBA Code.
Key Audit Matters
Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the consolidated financial statements of the current period. These matters were addressed in the context of our audit of the consolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.
Key Audit Matter | How the matter was addressed in our audit | |
Reserves for rights to return goods: | Our procedures in respect of this area included: | |
the Group's revenue is derived from pre-set | - Testing management's process for determining the esti- | |
prices with its customers, therefore the | mate for return of goods reserves. | |
amount of revenue to be earned from each | -Evaluating the appropriateness of management's meth- | |
transaction is determined by reference to | ||
odology to calculate the return of goods reserves. | ||
those prices agreed with the customers. An | ||
exception to this principal is that in most | -Testing the completeness and accuracy of data inputs to | |
cases, the Group enables specific customers | ||
return of goods reserves calculation. | ||
to return products which they have not sold, | ||
despite that there is no agreement between | -Evaluating the reasonableness of management's prior | |
the Group and its customers regarding such | period estimates for return of goods reserves to actual | |
returns and the Group does not have such | goods returns during the current period by performing a | |
policy. Historical experience enables the | retrospective comparison subsequent to year-end. | |
Group to estimate reliably the value of good | ||
that will be returned and restrict the amount | ||
of revenue that is recognized such that it is | ||
highly probable that there will not be a | ||
reversal of previously recognized revenue | ||
when goods are return. The provision for | ||
such chargebacks involves estimation and | ||
judgment by management. Therefore, the | ||
risk in relation to the chargebacks provision | ||
being misstated is also considered to be a key | ||
audit matter. | ||
Other information
Management and directors are responsible for the other information. The other information comprises the information contained in the annual report and financial statements for the year ended December 31, 2020, but does not include the financial statements and our auditor's report thereon.
Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.
In connection with our audit of the consolidated financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the
consolidated financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated.
If, based on the work we have performed on the other information that we obtained prior to the date of this auditor's report, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
Responsibilities of the management and directors for the Financial Statements
The directors of the Company are responsible for the preparation and fair presentation of these consolidated financial statements in accordance with IFRSs, and for such internal control as management and the directors determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the management and the directors are responsible for assessing the ability of the Company to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the management and the directors either intend to liquidate the Company or to cease operations, or has no realistic alternative but to do so.
Auditor's responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements.
As part of an audit in accordance with ISAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:
- Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a
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B.S.D Crown Ltd. published this content on 29 April 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 29 April 2021 14:59:05 UTC.