SMEs

Question 1

To be considered as SME, how much should be
- total assets
- total liabilities

Answer 1

Assets = 100M to 350M
Liabilities = 100M to 250M

Question 2

To be considered as Small Entity, how much should be
- total assets
- total liabilities

Answer 2

Assets = 3M to 100M
Liabilities = 3M to 100M

Question 3

Public utility can be SME or Small. True or False?

Answer 3

False

Question 4

PFRS or SME
- foreign operation is recycled to RE

Answer 4

SME (For PFRS → FDH is to P/L)

Question 5

PFRS or SME
- actuarial G/L from Defined Benefit Plan is a component of OCI

Answer 5

PFRS (For SME → OCI or P/L, depends on choice)

Question 6

For PFRS, components of OCI are FDH ERsDbCr. What is it for SME?

Answer 6

FH RsDb
- No D, E, Cr

Question 7

PFRS or SME
- IS and Statement of Changes in Equity can be merged as Statement of Income and Retained Earnings

Answer 7

SME

Question 8

For PFRS, equity securities can be categorized as FVPL and FVOCI. What is it for SME?

Answer 8

FVPL only

Question 9

For PFRS, debt securities can be categorized as FVPL, FVOCI, AC. What is it for SME?

Answer 9

AC only

Question 10

For PFRS, associates and joint ventures can be accounted for using Equity method. What is it for SME?

Answer 10

Equity, Cost, FV

Question 11

For SMEs, goodwill can be amortized. True or False?

Answer 11

True (maximum of 10 years)
- For PFRS → GW is not amortized

Question 12

For SMEs, intangible assets always have finite life. True or False?

Answer 12

True (maximum of 10 years)
- For PFRS → can be finite or infinite

Question 13

For SMEs, R&D and Borrowing costs can be capitalized. True or False?

Answer 13

False (expensed only)
- For PFRS → can be capitalized