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CS Executive · Corporate Accounting and Financial Management · Accounting Standards

Under the ICAI Compendium on applicability of Accounting Standards to companies not following Ind AS, which of the following statements about AS 16 (Borrowing Costs) is correct?

AS 16 Borrowing Costs is listed among the Accounting Standards applicable in their entirety to companies that do not follow Ind AS. It is not limited to listed companies, and for non-company entities it is shown as applicable at Levels II, III and IV.

  1. AAS 16 is listed among the standards applicable in their entirety to such companiesCorrect
  2. BAS 16 applies only to listed companies
  3. CAS 16 is applicable to Level II non-company entities only
  4. DAS 16 is not applicable to Level IV non-company entities

Explanation

The Compendium lists AS 16 Borrowing Costs among the Accounting Standards applicable in their entirety to companies other than those following Ind AS. The table for non-company entities also shows AS 16 as Applicable for Levels II, III and IV, so the other options are wrong.

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