Annual Reporting Posts

Last update 07/02/2020 Appendix B Application guidance This appendix is an integral part of the IFRS. Estimating the fair value of equity instruments granted B1 Paragraphs B2–B41 of this appendix discuss measurement of the fair value of shares and share options granted, focusing on the specific terms and conditions that are common features of a … Read more

Last update 13/02/2020 Significance of financial instruments for financial position and performance 7 An entity shall disclose information that enables users of its financial statements to evaluate the significance of financial instruments for its financial position and performance. Statement of financial position Categories of financial assets and financial liabilities 8 The carrying amounts of each … Read more

Last update 12/02/2020 The recognition process 5.1 Recognition is the process of capturing for inclusion in the statement of financial position or the statement(s) of financial performance an item that meets the definition of one of the elements of financial statements—an asset, a liability, equity, income or expenses. Recognition involves depicting the item in one … Read more

Last update 12/02/2020 Financial statements 3.1 Chapters 1 and 2 discuss information provided in general purpose financial reports and Chapters 3–8 discuss information provided in general purpose financial statements, which are a particular form of general purpose financial reports. Financial statements1 provide information about economic resources of the reporting entity, claims against the entity, and changes … Read more

Last update 12/02/2020 Introduction 2.1 The qualitative characteristics of useful financial information discussed in this chapter identify the types of information that are likely to be most useful to the existing and potential investors, lenders and other creditors for making decisions about the reporting entity on the basis of information in its financial report (financial … Read more

Last update 05/02/2020 Application of the equity method 16 An entity with joint control of, or significant influence over, an investee shall account for its investment in an associate or a joint venture using the equity method except when that investment qualifies for exemption in accordance with paragraphs 17–19. Exemptions from applying the equity method … Read more

Objective 1 The objective of this IFRS is to establish principles for financial reporting by entities that have an interest in arrangements that are controlled jointly (ie joint arrangements). Meeting the objective 2 To meet the objective in paragraph 1, this IFRS defines joint control and requires an entity that is a party to a … Read more

Last update 08/02/2020 65 Paragraphs 66–108 and Appendix C set out the requirements for identifying the cash-generating unit to which an asset belongs and determining the carrying amount of, and recognising impairment losses for, cash-generating units and goodwill. Identifying the cash-generating unit to which an asset belongs 66 If there is any indication that an … Read more

Value in use is the present value of the future cash flows expected to be derived from an asset or cash-generating unit. (IAS 36 6) OR The present value of estimated future cash flows expected to arise from the continuing use of an asset and from its disposal at the end of its useful life. … Read more

The amount obtainable from the sale of an asset or cash-generating unit in an arm’s length transaction between knowledgeable, willing parties, less the costs of disposal.