WP.CUONG.CC

Last update 05/12/2019 Purchase price of PPE – Here is one complete case of the purchase price and other cost that may be capitalised when acquiring a non-current asset in the day-to-day business. Topics hide THE CASE Purchase price of property Purchase price of PPE Related posts: THE CASE Purchase price of property Entity K … Read more

Last update 23/12/2019 Prudent reporting in high performance periods – This is a note on the innovative history of Philips’ financial reporting, see the ‘Introduction to a history of innovation in financial reporting‘. As a starting point a short history of changes in the Philips’ accounting policies is provided: Prudent reporting in high performance periods … Read more

Last update 22/12/2019 Provisions and contingent liabilities – A provision shall be recognised when: Provisions and contingent liabilities an entity has a present obligation (legal or constructive) as a result of a past event; it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation; and a reliable … Read more

Last update 11/11/2019 The provision matrix in the simplified approach is used for financial assets of little complexity and in a non-complicate operation environment, where it is common sense to use. Topics hide Forward looking Provision matrix in the simplified approach Determining appropriate groupings Adjusting historical loss rates for forward looking information Notes Stepped approach … Read more

Last update 06/12/2019 Prospective financial information – There has been increasing demand in recent years for more disclosure of prospective financial information (PFI). Although PFI disclosures are invariably regarded as being relevant to investors, there are also good reasons why they are not made on a regular and comprehensive basis by all companies. Doubts often … Read more

Last update 20/11/2019 Topics hide Property development intercompany finances Interest bearing term loan Senior interest-bearing bank term debt THE CASE NEW SUBSIDIARY/PROPERTY DEVELOPMENT A. Classification B. Impairment (i) Staging Assessment (ii) Estimating the risk of a default occurring (iii) ECL Measurement Related posts: Property development intercompany finances Interest bearing term loan Senior interest-bearing bank term … Read more

Last update 12/12/2019 Property accounting using the Cost model – Property, plant and equipment (PPE) is often composed of various parts with varying useful lives or consumption patterns. These parts are (individually) replaced during the useful life of an asset. Therefore: Property accounting using the Cost model Each part of an item of PPE with … Read more

Last update 20/12/2019 What are promises in a contract, from an accounting/financial reporting point of view and from a legal point of view. 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 … Read more

Last update 24/12/2019 Product delivered without a written contract – Seller’s practice is to obtain written and customer-signed sales agreements. Seller delivers a product to a customer without a signed agreement based on a request by the customer to fill an urgent need. Can an enforceable contract exist if Seller has not obtained a signed … Read more

Last update 22/12/2019 Private sector participation in public infrastructure – There are a wide variety of arrangements in operation globally whereby government or government agencies enter into contractual service arrangements to attract private sector participation in the development, financing, operation and maintenance of infrastructure for public services. IFRIC 12 is concerned with the accounting by … Read more