A new International Financial Reporting Standard (IFRS) for small and medium-sized businesses has been launched.
The document, issued by the International Accounting Standards Board (IASB), includes simplified versions of the full IFRS on issues including liabilities, income, expenses and recognising and measuring assets.
Topics which have no relevance for SMEs have been omitted from the standard.
According to Sir David Tweedie, chairman of the IASB, the IFRS should benefit companies based in emerging and developed economies.
He said: "For the first time, SMEs will have a common high quality and internationally respected set of accounting requirements."
The new IFRS will only be revised once every three years in order to makes things simpler for SMEs.
As the IFRS for SMEs is separate from full IFRSs it can be applied in any jurisdiction.
Earlier this year, the IASB announced that it is looking for input on the feasibility of introducing an expected loss model for the impairment of financial assets.
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