Quasi-reorganization is an accounting procedure that
govern the company to restructure its equity by eliminating the deficit and
revaluing all assets and liabilities. With this, the company is expected to
continue its operations better, as if starting from scratch is good (fresh
start), with the balance sheet showing the current values and without the
burden of deficit.
Quasi-reorganization is a reorganization, without going
through a real reorganization (true reorganization or corporate restructuring)
conducted by reassessing the accounts of assets and liabilities at fair value
and eliminate the negative retained earnings or deficit.
This statement is to prescribe the accounting treatment
for the quasi-reorganization undertaken by the company.
This statement applies to any company that does
kuasireorganisasi. This statement replaces the provisions in paragraph 43 of
SFAS No. reorganization. 21 (1994), Accounting for Equity.
The company must prepare a balance sheet at the date of
the quasi-reorganization. The balance sheet should be compared with the period
before the period end balance kuasireorganisasi done.
This statement is effective for quasi-reorganization that
occurred after December 10, 2003. Early application is encouraged to report the
financial reporting period ending after this statement was passed
(Source Indonesian Institute of
Accountants)
