Despite Australia adopting IFRSs issued by the IASB, the Australian Accounting Standards Board (AASB) has not adopted the International Financial Reporting Standard for Small and Medium-sized Entities (IFRS for SMEs). Instead, the AASB has introduced a differential reporting framework, referred to as the Reduced Disclosure Requirements (RDRs).
Read the technical updates to:
a. Discuss the aims of the IFRS for SMEs.
b. Identify if and how the measurement of various asset and liability classes under the IFRS for SMEs varies from the full IFRSs principles outlined in this chapter.
c. Compare the IASB's IFRS for SMEs approach with that of the AASB's RDRs.
d. Analyse whether a community bank operating in Australia should be permitted to prepare its general purpose financial statements using the RDR.