IAS8 Net Profit for the Period, Fundamental Errors and Changes in Accounting Policies
Extraordinary items
Income or expenses arises from events or transactions that are clearly distinct from the ordinary activities of the enterprise and therefore are not expected to recur frequently or regularly.

Examples of extraordinary items
Expropriation of assets (dispossession by the State)
Natural disaster, such as earthquakes or floods

Fundamental errors
Are errors discovered in the current period that are of such significance that the F.S of one or more prior periods can no longer be considered to have been reliable at the date of their issue.

May arises through
Mathematical mistakes
Mistakes in the application of accounting policies
Misinterpretation of facts
Oversights
Fraud

Exceptional items
Such items of income and expense will be included within profit or loss from ordinary activities, but of such size, nature or incidence that their disclosure is needed

Examples
Write down of inventories
Restructuring of activities of an enterprise
Disposals of items of property, plant and equipment
Disposals of long-term investments
Discontinued operations
Settlements of legal actions
Other reversals of provisions

Accounting treatment
Fundamental errors
Benchmark treatment:
adjust the b/d of retained earnings
Allowed alternative treatment:
included in the net profit or loss for the current period

Changes in accounting estimates
Examples:
Bad debt provision
Useful lives of depreciable assets
Provision for obsolescence of inventory
Accounting treatment:
Change in current or future periods

Changes in accounting estimates
Conditions:
By statute
By an accounting standard setting body
If the change will result in a more appropriate presentation of events or transactions in the financial statements of the enterprise

Accounting treatments
Retrospective application (benchmark treatment)
By adjusting the opening balance of retained earnings
Prospective application (allowed alternative treatment)
By adjusting in current period