WP.CUONG.CC

Last update 27/12/2019 This is an example set of Financial statements 2018. It is intended to help entities to prepare and present financial statements in accordance with IFRS by illustrating a possible format for financial statements for a fictitious multinational corporation (the Group) involved in general business activities. This hypothetical reporting entity has been applying … Read more

Last update 22/12/2019 IFRS 9-The SPPI test explained by example – The solely payments of principal and interest (SPPI) test requires that the contractual terms of the financial asset (as a whole) give rise to cash flows that are solely payments of principal and interest on the principal amounts outstanding ie cash flows that are consistent with … Read more

Last update 31/10/2019 IFRS 9 Transfer right to receive cash flows is part of a decision model for the derecognition of financial assets. The derecognition can be a full derecognition, a full continued recognition, a full derecognition with recognition of new assets or liabilities retained or a continued involvement. The model is starting here. Derecognition … Read more

Last update 31/10/2019 IFRS 9 Transfer all risks and rewards is part of a decision model for the derecognition of financial assets. The derecognition can be a full derecognition, a full continued recognition, a full derecognition with recognition of new assets or liabilities retained or a continued involvement. The model is starting here. Derecognition of … Read more

Last update 01/12/2019 IFRS 9 The Solely Payments of Principal and Interest Test is a necessary condition (see IFRS 9 Classification and Measurement of Financial Instruments) for classifying loans and receivables at Amortized Cost or FVOCI.  This means that the contractual payments give rise on specified dates to cash flows that are solely payments of … Read more

Last update 16/11/2019 IFRS 9 The Business Model Test is a necessary condition (see IFRS 9 Classification and Measurement of Financial Instruments) for classifying a loan or receivable at Amortized Cost or FVOCI. The test is about whether the asset is part of a group or portfolio that is being managed within a business model … Read more

Last update 31/10/2019 IFRS 9 Retain control of the asset IFRS 9 Retain control of the assetis part of a decision model for the derecognition of financial assets. The derecognition can be a full derecognition, a full continued recognition, a full derecognition with recognition of new assets or liabilities retained or a continued involvement. The … Read more

Last update 31/10/2019 IFRS 9 Retain all risks and rewards is part of a decision model for the derecognition of financial assets. The derecognition can be a full derecognition, a full continued recognition, a full derecognition with recognition of new assets or liabilities retained or a continued involvement. The model is starting here. Derecognition of … Read more

Last update 27/10/2019 Topics hide IFRS 9 Reclassification of financial instruments Equity investments Related posts: IFRS 9 Reclassification of financial instruments For financial assets, reclassification is required between FVTPL, FVTOCI and amortised cost, if and only if the entity’s business model objective for its financial assets changes so its previous model assessment would no longer … Read more

Last update 02/12/2019 IFRS 9 Profit participating loan – Parent A advances €1m to Subsidiary B on 1 January 2018 with the following terms: 5% interest; 30% of the annual appreciation in the property value; €1m repayable in 5 years – December 2022. Classification As the loan is in a ‘hold to collect’ business model, … Read more