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e. Statement of cash flow
The statement of cash flow for PSAK
is covered in PSAK 2 and BAPEPAM
Regulation No. VII.G.7. The cash flows are classified as operating, investing and
financing
activities.
Cash
flows
from
operating activities
may
be
presented
either
by
direct or indirect method, but the listed companies are required to use direct method.
The
statement
of
cash flow
for
IFRS
is
covered
in
IAS
7.
The
cash
flow
classification is the same
like
PSAK,
which
are:
operating,
investing
and
financing
activities. Cash
flows
from operating activities also
like PSAK which
is presented either
by
direct
or
indirect
method,
but
there
is
no
requirement
for
listed
companies
to
use
direct method.
f.
Basis of accounting
The basis of accounting for PSAK is covered in PSAK 1 and PSAK 52. There is
no
specific
guidance
on
financial
reporting
in
hyperinflationary
economies.
The
reporting currency of financial statement should be in Rupiah.
The basis of accounting for IFRS is covered in IAS 1, IAS 21, IAS 29 and IFRIC
7. If there
is
hyperinflationary economies condition, IFRS requires entity to apply IAS
29 retrospectively.
IFRS permits entities to present
its
financial statement
in any
currency.
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