All companies incorporated in United Kingdom require to prepare its financial statements in accordance wih Financial Reporting Standards (FRS) and Statements of Standard Accounting Practice (SSAP).
There are exception for small companies. Small companies can opt to prepare its financial statements in accordance with Financial Reporting Standards for Smaller Entities (FRSSE).
As professional financial advisers, it is important to have substantial knowledge of the FRS and ensure application to practical situation.
FRS consist of:
FRS 1 (Revised 1996) - Cash Flow Statements
FRS 2 Accounting for Subsidiary Undertakings
FRS 3 Reporting Financial Performance
FRS 4 Capital Instruments
FRS 5 Reporting the Substance of Transactions / Revenue Recognition
FRS 6 Acquisitions and Mergers
FRS 7 Fair Values in Acquisition Accounting
FRS 8 Related Party Disclosures
FRS 9 Associates and Joint Ventures
FRS 10 Goodwill and Intangible Assets
FRS 11 Impairment of Fixed Assets and Goodwill
FRS 12 Provisions, Contingent Liabilities and Contingent Assets
FRS 13 Derivatives and other Financial Instruments: Disclosures
FRS 14 Earnings per Share
FRS 15 Tangible Fixed Assets
FRS 16 Current Tax
FRS 17 Retirement Benefits
FRS 18 Accounting Policies
FRS 19 - Deferred Tax
FRS 20 (IFRS2) Share-based Payment
FRS 21 (IAS 10) Events after the Balance Sheet Date
FRS 22 (IAS 33) Earnings per share
FRS 23 (IAS 21) The Effects of Changes in Foreign Exchange Rates
FRS 24 (IAS 29) Financial Reporting in Hyperinflationary Economies
FRS 25 (IAS 32) Financial Instruments: Disclosure and Presentation
FRS 26 (IAS 39) Financial Instruments: Recognition and Measurement
FRS 27 Life Assurance
FRS 28 Corresponding Amounts
FRS 29 (IFRS 7) Financial Instruments: Disclosures
