They have no provisions for SMEs.
- FVOCI
- NCAHFS
- Operating Segments
- Interims
- Bearer Plants
These are not necessary for SMEs
- SOCI
- SOCE
- SOFP
Instead of SOCE, what can an SME provide instead?
SIRE: Statement of Income and Retained Earnings
(As long as it follows the PPCC rule)
What are the conditions that an SME can present a SIRE instead of SOCE?
When changes in equity arise from:
- Profit or Loss
- Payment of Dividends
- Correction of Errors
- Changes in Policies
What are the items measured at CA or FV when it comes to SMEs?
- Financial Instruments
- Investment Property
What item/s is/are measured at FVLCTS or Cost when it comes to SMEs?
Agriculture
These are the items recognized as income or expense outright for SMEs?
- Borrowing Cost
- R&D Cost
- Lease Payments & Receipts
These are the items amortized with a UL of less than 10 years for SMEs?
- IA (Intangible Asset)
- Goodwill from Business Combination
- Goodwill from Investment in Associate
These are the items measured at FV for SMEs?
- Government Grant
- Share Options
These are recognized through the cost model alone?
- Intangible Asset
- Intangible Exploration
What are the choices that an SME has to measure Investment in Associate?
- Cost Model
- Equity Model
- Fair Value Model
What are the choices of an SME in accounting for Actuarial G/L?
- P/L
- OCI
What are the two choices for an SME in recording for Tangible Exploration?
- Cost Model
- Revaluation Model
When it comes to changes in accounting policy for SE’s, how do SE’s account for it?
- Cumulative effect shall be recognized in Retained Earnings or in another equity component
- Comparative information shall not be restated
When it comes to correction of prior period errors, how do SE’s account for it?
- Cumulative effect shall be recognized in Retained Earnings or in another equity component
- Comparative information shall not be restated
Same as changes in accounting policy
According to PFRS for small entities, these are the basic financial instruments.
- Cash
- Bank Deposits
- Trade receivables and payables
- Notes + loans receivable and payable
- Investments in nonconvertible preference shares and non-puttable ordinary shares
What is the initial measurement of basic financial transactions for small entities?
Transaction price including transaction cost
What is the difference in measurement for Inventories under SMEs and SEs?
- SMEs - measure it at LCNRV
- SEs - measure at cost, then subsequently measure it at LCFV
How do you account for the Biological Assets under SE’s?
- Cost Model
- Current market price model - FV model
What are the two methods that government grants are recognized for SE’s
- Non-recognition
- Recognition at fair value
What classification do SEs have for leases as compared to SMEs?
- SEs only recognize leases as operating leases
- SMEs can recognize both finance and operating leases
What are the two choices of recognizing income tax when it comes to SEs?
- Taxes Paybale Method (shall only recognize current taxes)
- Deferred Taxes Method (shall recognize deferred taxes)
When it comes to post-employment benefits for SEs, what are the provisions?
- It is accounted for using the accrual method
- No considerations for changes in future salary
- No recognition of actuarial gains and losses
For equity-settled share based payments, how is this measured for SEs?
NAV (Net Asset Value)
NAV = Total Assets - Liabilities / Number of Shares Outstanding
