FAQs on IND AS 24: Related Party Disclosures

FAQs on IND AS 24

Q.1 What is the purpose of IND AS 24?

Ans: The purpose of IND AS 24 is to ensure that related party transactions are disclosed in financial statements. The standard requires companies to disclose the nature of the related party relationship, the transactions between related parties, and the terms and conditions of those transactions.

Q.2 Who are considered related parties under IND AS 24?

Ans: Related parties include any individuals, entities, or groups that have a direct or indirect control, joint control, or significant influence over the company, as well as key management personnel and their close family members.

Q.3 What types of transactions are subject to disclosure under IND AS 24?

Ans: All types of transactions with related parties are subject to disclosure under IND AS 24, including sales and purchases of goods or services, leases, loans, guarantees, and equity transactions.

Q.4 What are the consequences of failing to disclose related party transactions?

Ans: Failure to disclose related party transactions can result in legal and regulatory penalties. It can also damage the reputation of the company and erode stakeholder trust.

Q.5 Are there any exemptions or exceptions to the disclosure requirements of IND AS 24?

Ans: Yes, there are exemptions and exceptions to the disclosure requirements of IND AS 24, such as transactions with government-controlled entities and transactions that are conducted on market terms. However, the company must still disclose the nature of the related party relationship and the terms of the transactions.

Q.6 Are there any specific formats or templates for disclosing related party transactions under IND AS 24?

Ans: No, there are no specific formats or templates for disclosing related party transactions under IND AS 24. The company must provide the necessary information in the financial statements in a clear and understandable manner.

Q.7 What is the difference between a related party and a related party transaction?

Ans: A related party is any individual, entity, or group that has a direct or indirect control, joint control, or significant influence over the company, as well as key management personnel and their close family members. A related party transaction is any transaction between the company and a related party, regardless of whether it involves the transfer of goods, services, or money.

Q.8 What is the impact of IND AS 24 on small and medium-sized enterprises (SMEs)?

Ans: The impact of IND AS 24 on SMEs may vary depending on the size and complexity of the company and the nature and extent of related party transactions. However, SMEs may face additional compliance costs and administrative burdens in complying with the disclosure requirements of IND AS 24.

Q.9 Can a related party transaction be considered arm’s length if it is conducted on market terms?

Ans: Not necessarily. Even if a related party transaction is conducted on market terms, it may still be subject to disclosure requirements under IND AS 24 if the related party has significant influence over the company or if the transaction creates a conflict of interest or other risk for stakeholders.

Q.10 What is the relationship between IND AS 24 and the Companies Act?

Ans: IND AS 24 is a financial reporting standard that is based on the principles of the Companies Act. Companies must comply with the disclosure requirements of IND AS 24 in order to comply with the Companies Act.

Q.11 Is there a threshold for disclosing related party transactions under IND AS 24?

Ans: No, there is no threshold for disclosing related party transactions under IND AS 24. All related party transactions, regardless of the amount or significance, must be disclosed.

Q.12 Are there any specific audit requirements related to related party transactions under IND AS 24?

Ans: Yes, auditors are required to obtain sufficient appropriate audit evidence to evaluate the disclosures related to related party transactions in the financial statements. They must also consider the risks associated with related party transactions and the effectiveness of the company’s controls to address those risks.

Q.13 Can a company omit related party disclosures in its financial statements if it considers them to be immaterial?

Ans: No, a company cannot omit related party disclosures in its financial statements even if it considers them to be immaterial. The standard requires companies to provide all necessary information to enable stakeholders to understand the nature and extent of related party transactions and the risks associated with them.

Q.14 Are there any differences between IND AS 24 and International Financial Reporting Standards (IFRS) 24?

Ans: No, there are no significant differences between IND AS 24 and IFRS 24. IND AS 24 is based on IFRS 24 and is nearly identical to it.

Q.15 How does IND AS 24 impact consolidated financial statements?

Ans: Companies that prepare consolidated financial statements must disclose all related party transactions between the parent company and its subsidiaries, as well as between subsidiaries of the same parent. They must also disclose any related party transactions that occurred before the date of consolidation.

Q.16 Are there any penalties for non-compliance with IND AS 24?

Ans:  Yes, companies that fail to comply with the disclosure requirements of IND AS 24 may face penalties and fines from regulatory authorities. In addition, non-compliance may harm the company’s reputation and undermine investor confidence.

Q.17 Does IND AS 24 apply to non-profit organizations?

Ans: Yes, IND AS 24 applies to non-profit organizations that prepare financial statements in accordance with Indian Accounting Standards. Non-profit organizations must disclose related party transactions in the same way as for-profit entities.

Q.18 How does IND AS 24 impact the valuation of related party transactions?

Ans: IND AS 24 does not provide specific guidance on the valuation of related party transactions. However, companies must disclose the nature and terms of related party transactions, including the method of valuation, in order to enable stakeholders to evaluate the fairness and reasonableness of the transactions.

Q.19 How often must a company disclose related party transactions under IND AS 24?

Ans: A company must disclose related party transactions in each period for which financial statements are presented, including interim and annual financial statements. The company must also update its disclosures if there are any changes in related party transactions or relationships.

Q.20 Can a company enter into related party transactions without disclosing them under IND AS 24?

Ans: No, a company cannot enter into related party transactions without disclosing them under IND AS 24. The standard requires companies to disclose all related party transactions, regardless of whether they are entered into on an arm’s length basis or whether they are considered to be immaterial.

Q.21 Does IND AS 24 apply to public sector entities?

Ans: Yes, IND AS 24 applies to public sector entities that are required to prepare financial statements in accordance with Indian Accounting Standards. Public sector entities must disclose related party transactions in the same way as private sector entities.

Q.22 What is the difference between a related party and a related party transaction?

Ans: A related party is a person or entity that is related to the reporting entity, such as a key management personnel, a close family member, or a business entity in which the reporting entity has significant influence. A related party transaction is a transaction between the reporting entity and a related party, such as a sale or purchase of goods or services, a loan, or a lease.

Q.23 Are there any specific disclosure requirements for related party transactions involving key management personnel?

Ans: Yes, companies must disclose related party transactions involving key management personnel separately in the financial statements. The disclosures must include the nature and extent of the transactions, the amount of the transactions, and any other relevant terms and conditions.

Q.24 How does IND AS 24 impact the consolidated financial statements of a group of companies?

Ans: IND AS 24 requires companies to disclose all related party transactions between the parent company and its subsidiaries, as well as between subsidiaries of the same parent. The disclosures must also include any related party transactions that occurred before the date of consolidation. Companies must also disclose any significant transactions with associates or joint ventures that are not consolidated.

Q.25 Can a company enter into a related party transaction that is not on an arm’s length basis under IND AS 24?

Ans: Yes, a company can enter into a related party transaction that is not on an arm’s length basis under IND AS 24, as long as the transaction is disclosed in the financial statements and the reasons for the non-arm’s length nature of the transaction are explained. However, such transactions may be subject to additional scrutiny by regulators and investors.

Q.26 Which of the following is a related party?

a) A supplier of goods or services to the reporting entity

b) A competitor of the reporting entity

c) An employee of the reporting entity

d) A creditor of the reporting entity

Ans: c) An employee of the reporting entity

Q.27 Which of the following transactions are not required to be disclosed under IND AS 24?

a) Sale of goods to a related party

b) Lease of property to a related party

c) Salary paid to a key management personnel who is a related party

d) Purchase of inventory from an unrelated party

Ans: d) Purchase of inventory from an unrelated party

Q.28 Which of the following statements is true about the disclosure requirements under IND AS 24?

a) Only significant related party transactions need to be disclosed

b) Related party transactions need to be disclosed only if they are on an arm’s length basis

c) Companies are not required to disclose related party transactions involving key management personnel

d) Companies must disclose all related party transactions, regardless of their materiality

Ans: d) Companies must disclose all related party transactions, regardless of their materiality

Q. 29 Which of the following entities are exempt from the disclosure requirements of IND AS 24?

a) Private limited companies

b) Public sector entities

c) Non-profit organizations

d) All of the above

Ans: d) All of the above

Q. 30 Which of the following is an exception to the disclosure requirements under IND AS 24?

a) Disclosure of related party transactions would violate confidentiality agreements

b) The related party is a government entity

c) The transaction is not material to the financial statements

d) All of the above

Ans: b) The related party is a government entity

Q. 31 Which of the following parties may not be considered a related party under IND AS 24?

a) A close family member of a key management personnel

b) A business entity in which the reporting entity has significant influence

c) A competitor of the reporting entity

d) An individual who is a significant shareholder of the reporting entity

Ans: c) A competitor of the reporting entity

32. Under IND AS 24, a related party transaction that is not on an arm’s length basis must be disclosed in the financial statements along with:

a) The reason for the non-arm’s length nature of the transaction

b) The expected outcome of the transaction

c) The related party’s financial statements

d) The related party’s management compensation details

Ans: a) The reason for the non-arm’s length nature of the transaction

Q. 33 Which of the following statements is true about the disclosure of related party transactions in the financial statements?

a) The disclosures must be made in a separate statement attached to the financial statements

b) The disclosures must be made in the notes to the financial statements

c) The disclosures must be made in the income statement of the financial statements

d) The disclosures must be made in the balance sheet of the financial statements

Ans: b) The disclosures must be made in the notes to the financial statements

Q. 34 Which of the following is an example of a related party transaction under IND AS 24?

a) Payment of rent to an unrelated party for the use of office space

b) Purchase of inventory from an unrelated party

c) Sale of goods to a key management personnel who is a related party

d) Payment of interest on a loan from an unrelated party

Ans: c) Sale of goods to a key management personnel who is a related party

Q. 35 Which of the following entities are required to comply with the disclosure requirements of IND AS 24?

a) Private limited companies

b) Public sector entities

c) Sole proprietorships

d) All companies that prepare financial statements in accordance with Indian Accounting Standards

Ans: d) All companies that prepare financial statements in accordance with Indian Accounting Standards

Q. 36 Which of the following types of entities are not required to disclose related party transactions under IND AS 24?

a) Public sector entities

b) Private limited companies

c) Non-profit organizations

d) All entities are required to disclose related party transactions under IND AS 24

Ans: d) All entities are required to disclose related party transactions under IND AS 24

Q. 37 Which of the following parties would be considered a related party under IND AS 24?

a) A customer of the reporting entity

b) A supplier of goods or services to the reporting entity

c) A shareholder of the reporting entity

d) An employee of an unrelated company that is affiliated with the reporting entity

Ans: c) A shareholder of the reporting entity

Q. 38 When disclosing related party transactions in the financial statements, which of the following information is not required to be disclosed?

a) The nature of the relationship with the related party

b) The terms and conditions of the transactions

c) The amounts of the transactions

d) The expected outcome of the transactions

Ans: d) The expected outcome of the transactions

Q. 39 Which of the following is an example of a related party transaction that may be exempt from the disclosure requirements under IND AS 24?

a) Sale of goods to a related party at a price below market value

b) Lease of property to a related party at a price above market value

c) Payment of management fees to a related party

d) Purchase of inventory from an unrelated party at a price above market value

Ans: d) Purchase of inventory from an unrelated party at a price above market value

Q. 40 Which of the following is an exception to the disclosure requirements under IND AS 24?

a) The related party transaction involves a government entity

b) The related party transaction is on an arm’s length basis

c) The related party transaction is immaterial to the financial statements

d) None of the above

Ans: a) The related party transaction involves a government entity

Q. 41 Which of the following is not considered a related party under IND AS 24?

a) A subsidiary of the reporting entity

b) A joint venture in which the reporting entity has a significant interest

c) An independent supplier of goods or services to the reporting entity

d) A key management personnel of the reporting entity

Ans: c) An independent supplier of goods or services to the reporting entity

Q. 42 Which of the following is not a disclosure requirement under IND AS 24?

a) The name of the related party

b) The nature of the relationship with the related party

c) The amounts of the transactions with the related party

d) The expected outcome of the transactions with the related party

Ans: d) The expected outcome of the transactions with the related party

Q. 43 Which of the following types of entities are required to disclose related party transactions under IND AS 24?

a) Only publicly traded companies

b) Only private limited companies

c) All types of entities, whether public or private

d) Only entities that have significant related party transactions

Ans: c) All types of entities, whether public or private

Q. 44 Which of the following is an example of a related party relationship under IND AS 24?

a) A supplier of raw materials to the reporting entity

b) A customer of the reporting entity

c) A director of the reporting entity

d) A bank that provides a loan to the reporting entity

Ans: c) A director of the reporting entity

Q. 45 Which of the following is an exemption from the disclosure requirements under IND AS 24?

a) Transactions with a related party that is also a government entity

b) Transactions with a related party that is not a material related party

c) Transactions with a related party that are at arm’s length and are in the ordinary course of business

d) None of the above

Ans: c) Transactions with a related party that are at arm’s length and are in the ordinary course of business

Q. 46 Which of the following is a disclosure requirement under IND AS 24?

a) The amount of any loans receivable from related parties

b) The amount of any loans payable to related parties

c) Both a) and b)

d) Neither a) nor b)

Ans: c) Both a) and b)

Q. 47 Which of the following is an example of a related party transaction that would require disclosure under IND AS 24?

a) A sale of goods or services to a related party at a price that is lower than market price

b) A sale of goods or services to a related party at a price that is higher than market price

c) A sale of goods or services to an unrelated party at a price that is higher than market price

d) None of the above

Ans: b) A sale of goods or services to a related party at a price that is higher than market price

Q.48 Under IND AS 24, who is considered to be a related party?

a) Any entity that owns more than 5% of the voting power of the reporting entity

b) Any entity that is controlled by the reporting entity

c) Any entity that is able to exert significant influence over the reporting entity

d) All of the above

Ans: d) All of the above

Q.49 Which of the following is an example of a related party transaction that would require disclosure under IND AS 24?

a) A transaction with a subsidiary of the reporting entity

b) A transaction with an unrelated party

c) A transaction with a joint venture in which the reporting entity has a minority interest

d) None of the above

Ans: a) A transaction with a subsidiary of the reporting entity

Q.50 Which of the following is not a disclosure requirement under IND AS 24?

a) The name of the related party

b) The amount of any loans receivable from related parties

c) The expected outcome of the transactions with the related party

d) The nature of the relationship with the related party

Ans: c) The expected outcome of the transactions with the related party

Q. 51 Which of the following is an exemption from the disclosure requirements under IND AS 24?

a) Transactions with related parties that are at arm’s length and are in the ordinary course of business

b) Transactions with related parties that are also government entities

c) Transactions with related parties that are not material

d) None of the above

Ans: a) Transactions with related parties that are at arm’s length and are in the ordinary course of business

Q. 52 Which of the following is an example of a related party transaction that would not require disclosure under IND AS 24?

a) A transaction with a related party that is conducted on normal commercial terms and conditions

b) A transaction with a related party that is conducted at a price that is higher than market price

c) A transaction with a related party that is conducted at a price that is lower than market price

d) None of the above

Ans: a) A transaction with a related party that is conducted on normal commercial terms and conditions

Q.53 In which of the following situations would a transaction with a related party not be considered a related party transaction under IND AS 24?

a) The transaction is conducted at arm’s length

b) The transaction involves the sale of non-current assets

c) The transaction is conducted in the ordinary course of business

d) None of the above

Ans: a) The transaction is conducted at arm’s length

Q.54 Under IND AS 24, which of the following transactions would not be considered a related party transaction?

a) The provision of services by a related party to the reporting entity

b) The sale of goods by the reporting entity to a related party

c) The payment of dividends by the reporting entity to a related party

d) All of the above

Ans: d) All of the above

Q.55 Which of the following statements is true regarding the disclosure of related party transactions under IND AS 24?

a) Only material transactions need to be disclosed

b) All related party transactions need to be disclosed

c) Only transactions with related parties that are not at arm’s length need to be disclosed

d) Only transactions with related parties that are also publicly traded entities need to be disclosed

Ans: b) All related party transactions need to be disclosed

Q.56 Which of the following is an example of a related party under IND AS 24?

a) A supplier of goods to the reporting entity

b) An employee of the reporting entity

c) A customer of the reporting entity

d) A director of the reporting entity

Ans: d) A director of the reporting entity

Q.57 Which of the following is an example of a related party transaction that would require disclosure under IND AS 24?

a) A transaction with a related party that is conducted on normal commercial terms and conditions

b) A transaction with a related party that is conducted at a price that is higher than market price

c) A transaction with a related party that is conducted at a price that is lower than market price

d) None of the above

Ans: b) A transaction with a related party that is conducted at a price that is higher than market price

Q.58 Which of the following is an example of a related party transaction that would not require disclosure under IND AS 24?

a) A transaction with a related party that is conducted on normal commercial terms and conditions

b) A transaction with a related party that is conducted at a price that is lower than market price

c) A transaction with a related party that is conducted at a price that is higher than market price

d) All related party transactions require disclosure under IND AS 24

Ans: a) A transaction with a related party that is conducted on normal commercial terms and conditions

Q.59 Under IND AS 24, who is considered a related party?

a) Any individual or entity that can exert significant influence over the reporting entity

b) Any individual or entity that is controlled by the reporting entity

c) Any individual or entity that is related to the reporting entity by blood or marriage

d) All of the above

Ans: d) All of the above

Q.60 Which of the following is an example of a related party transaction that would require disclosure under IND AS 24?

a) The purchase of goods from a supplier that is owned by a director of the reporting entity

b) The purchase of goods from a supplier that is not related to the reporting entity

c) The sale of goods to a customer that is related to the reporting entity by blood or marriage

d) The sale of goods to a customer that is not related to the reporting entity

Ans: a) The purchase of goods from a supplier that is owned by a director of the reporting entity

Q.61 Which of the following is not a required disclosure for related party transactions under IND AS 24?

a) The nature of the related party relationship

b) The amount of the transaction

c) The terms and conditions of the transaction

d) The financial statements of the related party

Ans: d) The financial statements of the related party

Q.62 Which of the following is an example of a related party relationship that would require disclosure under IND AS 24?

a) A loan provided by the reporting entity to a related party

b) A loan provided by a related party to the reporting entity

c) Both a and b

d) Neither a nor b

Ans: c) Both a and b

Q.63 What is the objective of IND AS 24?

a) To provide guidance on how to prepare consolidated financial statements

b) To provide guidance on related party transactions and their disclosures

c) To provide guidance on how to account for business combinations

d) To provide guidance on how to prepare segment information disclosures

Ans: b) To provide guidance on related party transactions and their disclosures

Q.64 When is disclosure of related party transactions not required under IND AS 24?

Ans:  a) When the transaction is conducted at arm’s length

b) When the transaction is with a subsidiary or associate of the reporting entity

c) When the transaction is with a government entity

d) Disclosure is always required for related party transactions under IND AS 24 Ans: a) When the transaction is conducted at arm’s length

Q.65 Who is responsible for identifying and disclosing related party transactions under IND AS 24?

a) The auditors of the reporting entity

b) The directors of the reporting entity

c) The related parties themselves

d) The external regulatory authorities

Ans: b) The directors of the reporting entity

Q.66 What information must be disclosed in relation to a related party transaction under IND AS 24?

a) The name of the related party and the transaction amount

b) The nature of the related party relationship, the transaction amount, and the terms and conditions of the transaction

c) The nature of the related party relationship and the transaction amount only

d) The transaction amount and the terms and conditions of the transaction only

Ans: b) The nature of the related party relationship, the transaction amount, and the terms and conditions of the transaction

Q.67 How can a reporting entity determine whether a party is a related party under IND AS 24?

a) By reviewing the party’s financial statements

b) By conducting a search of the party’s shareholders

c) By assessing the nature of the relationship between the party and the reporting entity

d) By obtaining a legal opinion from a qualified lawyer

Ans: c) By assessing the nature of the relationship between the party and the reporting entity

Q.68 Which of the following is NOT an example of a related party under IND AS 24?

a) A parent company

b) A subsidiary company

c) An unrelated third-party supplier

d) A key management personnel of the reporting entity

Ans: c) An unrelated third-party supplier

Q.69 Under IND AS 24, what is the disclosure requirement for related party transactions that have occurred but not yet been completed?

a) No disclosure is required until the transaction is complete

b) Disclosure is required only if the transaction is material

c) Disclosure is required even if the transaction is not yet complete

d) Disclosure is not required for incomplete transactions

Ans: c) Disclosure is required even if the transaction is not yet complete

Q.70 Which of the following is an example of a related party transaction under IND AS 24?

a) Purchase of goods or services from an unrelated third-party supplier

b) Payment of dividends to shareholders of the reporting entity

c) Payment of salaries to employees of the reporting entity

d) Purchase of goods or services from a subsidiary of the reporting entity

Ans: d) Purchase of goods or services from a subsidiary of the reporting entity

Q.71 Which of the following is an example of a related party relationship under IND AS 24?

a) A customer who regularly purchases goods or services from the reporting entity

b) A supplier who provides raw materials to the reporting entity

c) A director of the reporting entity

d) An employee of the reporting entity

Ans: c) A director of the reporting entity

Q.72 What is the consequence of non-compliance with the disclosure requirements of IND AS 24?

a) The reporting entity may face legal penalties

b) The reporting entity may face financial penalties

c) The financial statements of the reporting entity may be deemed unreliable

d) The reporting entity may lose its license to operate

Ans: c) The financial statements of the reporting entity may be deemed unreliable

Q.73 Under IND AS 24, what is the threshold for disclosure of related party transactions?

a) There is no threshold, all related party transactions must be disclosed

b) Related party transactions must be disclosed only if they exceed 10% of the reporting entity’s total revenue

c) Related party transactions must be disclosed only if they exceed 5% of the reporting entity’s total revenue

d) Related party transactions must be disclosed only if they exceed 1% of the reporting entity’s total revenue

Ans: a) There is no threshold, all related party transactions must be disclosed

Q.74 Which of the following is an example of a related party under IND AS 24?

a) A shareholder who owns less than 5% of the reporting entity’s shares

b) An employee of the reporting entity

c) An unrelated third-party supplier

d) A competitor of the reporting entity

Ans: b) An employee of the reporting entity

Q.75 When disclosing related party transactions under IND AS 24, which of the following is NOT required?

a) The nature of the relationship between the parties

b) The amount of the transaction

c) The purpose of the transaction

d) The name of the related party

Ans: d) The name of the related party

Q.76 Under IND AS 24, which of the following is an example of a related party transaction that must be disclosed?

a) Payment of rent to an unrelated third-party landlord

b) Payment of interest on a loan from an unrelated third-party lender

c) Purchase of goods from a related party at market price

d) Payment of dividends to shareholders of the reporting entity

Ans: c) Purchase of goods from a related party at market price

Q.77 Which of the following is an example of a related party relationship under IND AS 24?

a) A customer who purchases goods or services from the reporting entity on an ad hoc basis

b) A supplier who provides goods or services to the reporting entity at market price

c) A parent company that holds more than 50% of the voting rights in the reporting entity

d) An unrelated third-party consultant who provides services to the reporting entity on a project basis

Ans: c) A parent company that holds more than 50% of the voting rights in the reporting entity

Q.78 When must a reporting entity disclose information about related party transactions under IND AS 24?

a) Only if the transactions have a material effect on the financial statements

b) Only if the transactions are with a related party that is a significant shareholder of the reporting entity

c) All related party transactions must be disclosed

d) Only if the transactions involve an amount that exceeds a certain threshold

Ans: c) All related party transactions must be disclosed

Q.79 What is the purpose of disclosing related party transactions under IND AS 24?

a) To ensure that the financial statements are accurate and reliable

b) To provide information about the potential for conflicts of interest

c) To highlight the business relationships that exist between the reporting entity and its related parties

d) All of the above

Ans: d) All of the above

Q.80 Which of the following is not an example of a related party under IND AS 24?

Ans:  a) A parent company of the reporting entity

b) An employee of the reporting entity

c) An unrelated third-party supplier

d) A subsidiary of the reporting entity

Ans: c) An unrelated third-party supplier

Q.81 What information must be disclosed about related party transactions under IND AS 24?

a) The name of the related party and the amount of the transaction

b) The nature of the relationship between the parties, the amount of the transaction, and any other significant terms and conditions

c) The name of the related party, the amount of the transaction, and any other significant terms and conditions

d) The nature of the relationship between the parties and any other significant terms and conditions

Ans: b) The nature of the relationship between the parties, the amount of the transaction, and any other significant terms and conditions

Q.82 What is the consequence of failing to disclose related party transactions under IND AS 24?

a) The reporting entity may be fined by the regulatory authorities

b) The financial statements may be deemed inaccurate and unreliable

c) The auditors may issue a qualified opinion on the financial statements

d) All of the above

Ans: d) All of the above

Disclaimer:

This article provides general information existing at the time of preparation and author takes no responsibility to update it with the subsequent changes in the law. The article is intended as a news update and author neither assumes nor accepts any responsibility for any loss arising to any person acting or refraining from acting as a result of any material contained in this article. It is recommended that professional advice be taken based on specific facts and circumstances. This article does not substitute the need to refer to the original pronouncement.