This site uses cookies to provide you with a more responsive and personalised service. By using this site you agree to our use of cookies. Please read our cookie notice for more information on the cookies we use and how to delete or block them.
The full functionality of our site is not supported on your browser version, or you may have 'compatibility mode' selected. Please turn off compatibility mode, upgrade your browser to at least Internet Explorer 9, or try using another browser such as Google Chrome or Mozilla Firefox.

Need to know — Accounting considerations related to the coronavirus 2019 disease for FRS 102 reporters

Published on: 30 Sep 2020

The Coronavirus 2019 (COVID‑19) pandemic is affecting economic and financial markets with entities experiencing conditions often associated with a general economic downturn. These include, but are not limited to, financial market volatility and erosion, deteriorating credit, liquidity concerns, further increases in government intervention, increasing unemployment, broad declines in consumer discretionary spending, increasing inventory levels, reductions in production because of decreased demand, redundancies and furloughs, and other restructuring activities. The continuation of these circumstances could have a prolonged negative impact on an entity’s financial results.

This Need to know discusses certain key FRS 102 accounting considerations related to conditions that may result from the COVID‑19 pandemic. Small companies applying Section 1A of FRS 102 are subject to a more limited set of disclosure requirements. However, such companies are still required by law to ensure that their accounts give a true and fair view; additional disclosures in relation to the effects of COVID‑19 may therefore be advisable.

Download

Related Topics

Correction list for hyphenation

These words serve as exceptions. Once entered, they are only hyphenated at the specified hyphenation points. Each word should be on a separate line.