Can anyone explain me AS-4(Revised) contingencies and events

Adjustments to assets and liabilities are required for events occurringafter the balance sheet date that provide additional information materially affecting the determination of the amounts relating to conditions existing at the balance sheet date. For example, an adjustment may be made for a loss on a trade receivable account which is confirmed by the insolvency of a customer which occurs after the balance sheet date.

Adjustments to assets and liabilities are not appropriate for events occurring after the balance sheet date, if such events do not relate to conditions existing at the balance sheet date. An example is the decline in market value of investments between the balance sheet date and the date on which the financial statements are approved. Ordinary fluctuations in marke values do not normally relate to the condition of the investments at the balance sheet date, but reflect circumstances which have occurred in the following period.

source: AS