Completely understand 1 consolidated and 2 separate financial statements

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(adsbygoogle = window.adsbygoogle || []).push({}); Last update 25/02/2020 Completely understand 1 consolidated and 2 separate financial statements is a summary of the requirements of IFRS 10 Consolidated financial statements, IFRS 11 Joint Arrangements, IFRS 12 Disclosure of Interests in Other Entities and IAS 28 Investments in Associates and Joint ventures and IAS 27 Separate financial … Read more

Common control business combinations

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(adsbygoogle = window.adsbygoogle || []).push({}); Last update 24/02/2020 Common control business combinations – How should an entity account for a business combination involving entities under common control? This is an important issue because common control combinations occur frequently but are excluded from the scope of IFRS 3 – the IASB’s standard on business combination accounting. … Read more

Commodity finance IFRS the 6 best examples

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(adsbygoogle = window.adsbygoogle || []).push({}); Last update 18/03/2020 Commodity finance IFRS the 6 best examples – A key issue is whether the contract to deliver a non-financial item (the commodity) falls within the scope of IFRS 9 Financial Instruments. Although IFRS 9 would appear to apply only to financial assets and financial liabilities, certain contracts … Read more

Allocate the transaction price to the performance obligations – Engineering & Construction

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(adsbygoogle = window.adsbygoogle || []).push({}); Last update 14/02/2020 Allocate the transaction price to the performance obligations – This part relates to a complete explanation of IFRS 15 Revenue from contracts with customers in respect of Engineering & Construction contracts, see Revenue from Engineering & Construction contracts. Once the performance obligations are identified and the transaction price … Read more

Clear IFRS 9 Fair value hedge accounting

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(adsbygoogle = window.adsbygoogle || []).push({}); Last update 26/02/2020 Clear IFRS 9 Fair value hedge accounting – The fair value hedge is one of three hedges defined in IFRS 9, the others are the cash flow hedge and the hedge of a net investment. Hedge accounting can bring a number of advantages over traditional accounting methods. … Read more

Changes in ownership no loss of control

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(adsbygoogle = window.adsbygoogle || []).push({}); Last update 24/02/2020 Changes in ownership no loss of control – Changes in a parent’s ownership interest that do not result in a change in control of the subsidiary that is a business are accounted for as equity transactions (through other comprehensive income). Thus, if the parent maintains control, it … Read more

Changes in interest resulting in a loss of control

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(adsbygoogle = window.adsbygoogle || []).push({}); Last update 24/02/2020 Changes in interest resulting in a loss of control – The loss of control of a subsidiary that is a business, other than in a non-reciprocal transfer to owners, results in the recognition of a gain or loss on the sale of the interest sold and on … Read more

Assets acquired in an exchange transaction

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(adsbygoogle = window.adsbygoogle || []).push({}); Last update 24/02/2020 Assets acquired in an exchange transaction – Assets are usually acquired through an exchange transaction, which can be a monetary or a non-monetary exchange. The accounting for assets acquired in an exchange transaction including the recognition and measurement under IFRS is discussed in this session. Initial recognition An … Read more

All about discounts and rebates IAS 2 Inventory

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(adsbygoogle = window.adsbygoogle || []).push({}); Last update 24/02/2020 All about discounts and rebates IAS 2 Inventory – Discounts and rebates can be offered to purchasers in a number of ways, for example trade discounts, settlement discounts, volume-based rebates and other rebates. Accounting for these reductions will vary depending on the type of arrangement. The purchaser’s … Read more