International financial reporting standards require firms to report short-term receivables at fair value and to disclose their net realizable value in the notes to the financial statements.

Question

Quizplus · Accepted Answer

International financial reporting standards require firms to report short-term receivables at their nominal value (original amount), less any allowance for doubtful accounts. Disclosure of the net realizable value may be required only if it is substantially different from the nominal value.

International Financial Reporting Standards Require Firms to Report Short-Term Receivables