Just another WordPress site
Last update 01/12/2019 Contract-based intangible assets – In a Business Combinations, contract-based intangible assets –by definition– are intangible assets and are therefore recognised separately from goodwill, provided that their fair values can be measured reliably. These intangible assets meet the definition of an intangible asset because they again –by definition– arise from contractual or other … Read more
Last update 16/08/2019 Financing activities Definition: Activities that result in changes in the size and composition of the contributed capital and borrowings of the entity. Cash receipts and cash payments relating to equity and debt related instruments: cash receipts of payments from owners on shares issued and additional paid-in capital, cash payments to owners in … Read more
Last update 24/12/2019 Contract with a ship owner is an example of not a lease of a ship and see below for the opposite a lease of a ship, the difference will give you a lesson!!!! The case: Contract with a ship owner Customer enters into a contract with a ship owner (Supplier) for the … Read more
Last update 06/12/2019 It is not really necessary to define financial statements, but because IFRS is the frame within which IFRS statements are prepared and because there are quite a few different definitions within IFRS relating to and specifying types of financial statements here a those definitions and some other sorted remarks and explanations. Financial … Read more
Last update 07/11/2019 Contract modifications and variable consideration are discussed on this page. 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 … Read more
Last update 16/08/2019 A financial liability ar fair value through profit or loss meets one of the following conditions: it meets the definition of held for trading. upon initial recognition it is designated by the entity as at fair value through profit or loss in accordance with IFRS 9 4.2.2 or IFRS 9 4.3.5. it … Read more
Last update 17/12/2019 Contract modification and derecognition – A contract that qualifies as an insurance contract remains so until all rights and obligations are extinguished (i.e., discharged, cancelled or expired) unless the contract is derecognised because of a contract modification [IFRS 17 B25]. IFRS 4 contained no guidance on when or whether a modification of … Read more
Last update 16/08/2019 For IFRS financial reporting purposes financial liabilities exclude trade and other payables and provisions. Financial liability: any liability that is: a contractual obligation: to deliver cash or another financial asset to another entity; or to exchange financial assets or financial liabilities with another entity under conditions that are potentially unfavourable to the entity; … Read more
Last update 25/11/2019 Contract enforceability and termination clauses is about those troubles, get your money as entitled or end a contract before you lose too much money. An entity has to determine the duration of the contract (i.e., the stated contractual term or a shorter period) before applying certain aspects of the revenue model (e.g., … Read more
Last update 16/08/2019 IFRS 9 Definition: A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity. Financial asset is any asset that is: Cash; An equity instrument of another entity; A contractual right: to receive cash or another financial … Read more