Question

Companies that use IFRS:

(a) may report all their assets on the statement of financial position at fair value.
(b) are not allowed to net assets (assets 2 liabilities) on their statement of financial positions.
(c) may report non-current assets before current assets on the statement of financial position.
(d) do not have any guidelines as to what should be reported on the statement of financial position.

Answer 1

Answer:

(c) may report non-current assets before current assets on the statement of financial position.

Explanation:

• International Financial Reporting Standards (IFRS) are a set of rules controlled and issued by International Accounting Standards Board (IASB) to regulate and maintain efficiency and transparency in financial statements throughout the globe.
• According to IFRS, non-current assets are those assets which are expected to be recovered only after 12 months or more after the statement of financial position is reported.
• Furthermore, the taxonomy of IFRS provides that companies may report non-current assets before current assets on the statement of financial position.