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The introduction of FRS 3, Reporting Financial Performance, has resulted in a considerably expanded profit and loss account with related disclosures and a new primary statement. The standard is intended to be based on the 'all-inclusive' concept of income.
Requirements
(a) Discuss why FRS 3 was introduced and whether it has achieved its objectives.
(b) Describe how the standard has implemented the 'all-inclusive' concept of income.
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