IFRS Topics

Last update 23/11/2019 Not a lease Rail cars is an example and see below for the opposite Lease Rail cars, the difference will give you a lesson!!!! Topics hide Not a lease Rail cars The case: Conclusion The reasoning: Lease Rail cars The case: Conclusion The reasoning:  Related posts: Not a lease Rail cars The … Read more

Last update 06/12/2019 Not a lease Concession space – This is  a case to obtain an intriguing understanding of the concept of IFRS Leases. Easily understand the definition and characteristics of a lease contract. Looking at the definition of a lease an entity has to assess whether, throughout the period of use (= lease period), … Read more

Last update 16/11/2019 Non-refundable upfront fees arise in many sales transactions. But when to recognise revenue for such fees? Non-refundable upfront fees In many technology transactions, customers pay an upfront fee at contract inception, which may relate to the initiation, activation or set-up of a good to be used or a service to be provided … Read more

Last update 26/11/2019 Non-current assets held-for-sale explains the accounting for a disposal group rather than single assets. What about the liabilities in the sale activity? To understand it properly, take a brief look back at IAS 1, Presentation of Financial Statements. Here is the look back….. Non-current assets held-for-sale In most cases, IAS 1 requires … Read more

Last update 24/12/2019 Non-current Assets Held for Sale and Discontinued Operations – There are two distinct parts to IFRS 5 Non-current Assets Held for Sale and Discontinued Operations. Both are related and can occur together, but each can also occur independently of the other. “Non-current assets held for sale” deals with the situation where an … Read more

Last update 08/11/2019 The core principle is that a non-current assets is deemed to be held for sale if its carrying value is expected to be recovered through selling it rather than using it. Making this judgment has two important accounting implications: Non-current assets held for sale It is carried within current assets in the … Read more

Last update 27/11/2019 Non-contractually specified risk components – Under IFRS 9, risk components can be designated for non-financial hedged items, provided the component is separately identifiable and the changes in fair value or cash flows of the item attributable to the risk component are reliably measurable. This requirement could be met where the risk component is … Read more

Last update 16/09/2019 IFRS 15 Revenue from Contracts with Customers (contents page is here) introduced a single and comprehensive framework which sets out how much revenue is to be recognised, and when. The core principle is that a vendor should recognise revenue to depict the transfer of promised goods or services to customers in an … Read more

Last update 26/11/2019 No alternative use enforceable payment right for work to date is the last phase in the satisfaction of performance obligations in IFRS 15 Revenue recognition. This is part of a primary and fundamental subject in the recognition of revenue. There are two ways of recognising revenue, revenue recognition over time and revenue … Read more

Last update 02/12/2019 New on IFRS 3 The Optional concentration test – Whilst applying the definition of a business might involve significant judgement, there was little or no guidance to identify situations where an acquired set of activities and assets is not a business. To address those concerns, the IASB introduced an optional fair value … Read more