Companies Act under review.

PositionNews Round-Up - Brief Article

Firms will be able to use more transparent practices when accounting for instruments such as debt securities under new proposals by the government, which wants to change the Companies Act 1985 and implement an EU directive on fair-value accounting. It proposes to allow, rather than require, all firms to account for financial instruments at fair value, instead of the more traditional historical cost, in both their annual and consolidated accounts. Changes in the fair values will then be reported in earnings statements. The government also wants to amend the requirement that the presentation of items on the balance sheet and profit and loss account has regard...

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