I seek clarification about adjustment or disclosure of proposed dividend in the financial statements. As per the Study Material of Audit (Jan 15) Page No. 6.60, Para No 6.18.7. It concludes that, in compliance with schedule III of the Com Act 2013, now the proposed dividend is non adjusting event, thus only disclosure is required. However its overriding to the AS - 4, which stat that its an adjusting event. On the other hand of study material, page no 6.42 para no. 6.16.5. Sub head, some of the features of Schedule III talks about supremacy of AS over the Schedule III in case of conflict. Keeping this in view, my query is whether AS - 4 will supersede to the Schedule III or vise a versa.