GLOBALLY, several countries have reported high inflation, the Philippines included, amid the Covid-19 pandemic, supply chain disruptions and the ongoing war in Ukraine. As of June, inflation had hit a four-year high of 6.1 percent, the Philippine Statistics Authority recently reported.

Businesses are likely to be significantly affected — a cause for concern for various stakeholders. Accountants will play a key role in assisting them in making informed decisions during this time of economic difficulty by providing timely, relevant and reliable information. Financial statements are more likely to be impacted by rising prices, and some items that will be affected include: