Medium sized companies
FRS 102 is the financial reporting standard that applies to most medium sized UK companies. The standard has onerous recognition and measurement rules and requires a wide range of disclosures.
Small companies are required to comply with the small company requirements of FRS 102. Section 1A of FRS 102 exempts small companies from a number of disclosure requirements. Although disclosures are reduced for small companies they are still required to follow the same recognition and measurement rules as medium sized companies under full FRS102.
Micro companies can follow FRS105 which has different recognition and measurement rules to FRS102 and is a much simpler financial reporting regime. There may be circumstances where a company eligible to use FRS105 choses to use FRS102 (section 1A) because of the limited information presented under FRS105.