Standards - Single statement could spike STRGL.
The long-term future of the UK’s Statement of Total Recognised Gains and Losses (STRGL) was put in doubt this week with the publication of a study by international standards-setters on how to report companies’ financial performance.
Published by the Accounting Standards Board (ASB) the research study recommends the development of a single performance statement divided into three components: operating (or trading) activities; financing and other treasury activities and other gains and losses. The third component is equivalent to a STRGL, but would present the items as part of a single statement.
The proposal was backed by a majority of the G4+1 working party of representatives from the Australian, Canadian, New Zealand, US and UK national standards boards, and the International Accounting Standards Committee.
According to ASB technical director Allan Cook the proposal addresses criticisms raised by the English ICA’s Financial Reporting Committee last November and would influence the impending review of FRS 3 Reporting Financial Performance.
‘The recent important proposal to differentiate operational and holding gains and losses is a step towards the style outlined in the report,’ said Cook. ‘Most of our critics accuse us of being obsessed with balance sheets. This recognises that people do read profit and loss accounts.’
The working party considered using simplified measures such as earnings per share, but decided against this route. ‘It’s a mistake to oversimplify performance summaries,’ said Cook.
For a copy of Reporting Financial Performance, telephone 01908 230344.
The numbers you crunch tell a story. Your expertis...
26yEmbracing user-friendly AP systems can turn the tide, streamlining workflows, enhancing compliance, and opening doors to early payment discounts. Read...
View articleOrganisations can enhance their financial operations' efficiency, accuracy, and responsiveness by adopting platforms that offer them self-service cust...
View articleIn a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...
View resourceDiscover how AP dashboards can transform your business by enhancing efficiency and accuracy in tracking key metrics, as revealed by the latest insight...
View articleGlobal spend on accountancy outsourcing up by 40% in the space of five years. News comes as accountancy outsourcing specialist AdvanceTrack reports en...
View articleFollowing a profitability review, Deloitte has decided to scale back its UK deals business due to lower returns. This strategic shift could lead to jo...
View articleUK-based Dow Schofield Watts (DSW), a mid-market professional services network, announced the creation of a new division called DSW Principal Partners...
View articleEY has been undergoing significant cost-cutting measures and streamlining its operations since the abandonment of Project Everest. The firm has made t...
View articleTransitioning from an accounting firm to a consultancy model is only one part of the puzzle. The next, equally vital piece is making the market aware ...
View articleThis framework, while providing a top-line view, underscores the importance of strategic vision, operational excellence, and the spirit of continuous ...
View articleLooking ahead, the Big 4 firms face a challenging year, with ongoing cost-of-living concerns, slow economic growth, rising geopolitical tensions, and ...
View articleLast month it was reported that Deloitte would be cutting approximately 1,200 jobs in the United States, making it the latest of the Big Four accounti...
View article