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Article R123-186 of the French Commercial code

Expenses incurred in connection with operations that condition the existence or development of the company but the amount of which cannot be related to specific production of goods and services may be entered on the assets side of the balance sheet under “Formation expenses”. Development costs may be entered on the assets side of the balance sheet under the corresponding item, provided that they relate to clearly individualised projects with…

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Article R123-187 of the French Commercial code

A regulation issued by the French Accounting Standards Authority sets out the conditions for determining the useful life, limited or unlimited, of intangible assets. Formation expenses are amortised according to a plan and within a maximum period of five years. Development costs are amortised over the estimated useful life of the projects, which is justified in the notes to the financial statements. If their useful life cannot be reliably determined,…

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Article R123-190 of the French Commercial code

The liabilities side of the balance sheet shows the following items in succession: shareholders’ equity, other shareholders’ equity, provisions, debts, accruals and deferred income and translation differences. Liabilities items distinguish among shareholders’ equity: capital, share premiums and similar premiums, revaluation differences, profit for the year, investment grants and regulated provisions, as well as reserves by isolating the legal reserve, statutory or contractual reserves and regulated reserves.

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Article R123-195 of the French Commercial code

In addition to the mandatory information provided for in articles L. 123-13 to L. 123-21, L. 232-1 to L. 232-23, R. 123-179 to R. 123-189 of this code and article R. 313-14 of the Monetary and Financial Code and the information provided for by regulation of the French Accounting Standards Authority (Autorité des normes comptables), the notes to the financial statements include all material information concerning the assets and liabilities,…

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Article R123-197-1 of the French Commercial code

Public limited companies that adopt a simplified presentation pursuant to Article L. 123-16 shall include in the notes to the financial statements a list of transactions carried out between the company and its main shareholders, on the one hand, and the company and the members of its administrative and supervisory bodies, on the other hand, if these transactions are material and were not carried out under normal market conditions. The…

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