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Cover

Title Page

About this book

Preface

Abbreviations

Authoritative literature

Volume 1: Chapters 1 to 23

1 International GAAP
1. 1 WHY INTERNATIONAL FINANCIAL REPORTING STANDARDS MATTER
2. 2 THE IFRS FOUNDATION AND THE IASB
3. 3 THE IASB’S TECHNICAL AGENDA AND CONVERGENCE WITH US GAAP
4. 4 THE ADOPTION OF IFRS AROUND THE WORLD
5. 5 CONSISTENCY IN APPLICATION OF IFRS
6. 6 SUMMARY
7. REFERENCES
2 The IASB's Conceptual Framework
1. 1 INTRODUCTION
2. 2 THE IASB’S CONCEPTUAL FRAMEWORK
3. 3 FUTURE DEVELOPMENTS
4. REFERENCES
3 Presentation of financial statements and accounting policies
1. 1 INTRODUCTION
2. 2 THE PURPOSE AND COMPOSITION OF FINANCIAL STATEMENTS
3. 3 THE STRUCTURE OF FINANCIAL STATEMENTS
4. 4 ACCOUNTING POLICIES
5. 5 DISCLOSURE REQUIREMENTS
6. 6 FUTURE DEVELOPMENTS
7. REFERENCES
4 Non-current assets held for sale and discontinued operations
1. 1 OBJECTIVE AND SCOPE OF IFRS 5
2. 2 NON-CURRENT ASSETS (AND DISPOSAL GROUPS) HELD FOR SALE OR HELD FOR DISTRIBUTION TO OWNERS
3. 3 DISCONTINUED OPERATIONS
4. 4 COMPARATIVE INFORMATION
5. 5 DISCLOSURE REQUIREMENTS
6. 6 FUTURE DEVELOPMENTS
7. REFERENCES
5 First-time adoption
1. 1 INTRODUCTION
2. 2 WHO IS A FIRST-TIME ADOPTER?
3. 3 OPENING IFRS STATEMENT OF FINANCIAL POSITION
4. 4 EXCEPTIONS TO RETROSPECTIVE APPLICATION OF OTHER IFRSs
5. 5 OPTIONAL EXEMPTIONS FROM THE REQUIREMENTS OF CERTAIN IFRSs
6. 6 PRESENTATION AND DISCLOSURE
7. 7 ACCOUNTING POLICIES AND PRACTICAL APPLICATION ISSUES
8. 8 REGULATORY ISSUES
9. REFERENCES
6 Consolidated financial statements
1. 1 INTRODUCTION
2. 2 OBJECTIVE AND SCOPE OF IFRS 10
3. 3 CONTROL
4. 4 POWER OVER AN INVESTEE
5. 5 EXPOSURE TO VARIABLE RETURNS
6. 6 LINK BETWEEN POWER AND RETURNS: PRINCIPAL-AGENCY SITUATIONS
7. 7 RELATED PARTIES AND DE FACTO AGENTS
8. 8 CONTROL OF SPECIFIED ASSETS
9. 9 CONTINUOUS ASSESSMENT
10. 10 INVESTMENT ENTITIES
11. 11 FUTURE DEVELOPMENTS
12. REFERENCES
7 Consolidation procedures and non-controlling interests
1. 1 INTRODUCTION
2. 2 CONSOLIDATION PROCEDURES
3. 3 CHANGES IN OWNERSHIP INTERESTS
4. 4 NON-CONTROLLING INTERESTS
5. 5 CALL AND PUT OPTIONS OVER NON-CONTROLLING INTERESTS
6. 6 FUTURE DEVELOPMENTS
7. REFERENCES
8 Separate and individual financial statements
1. 1 SEPARATE AND INDIVIDUAL FINANCIAL STATEMENTS
2. 2 REQUIREMENTS OF SEPARATE FINANCIAL STATEMENTS
3. 3 DISCLOSURE
4. 4 COMMON CONTROL OR GROUP TRANSACTIONS IN INDIVIDUAL FINANCIAL STATEMENTS
5. REFERENCES
9 Business combinations
1. 1 INTRODUCTION
2. 2 SCOPE OF IFRS 3
3. 3 IDENTIFYING A BUSINESS COMBINATION
4. 4 ACQUISITION METHOD OF ACCOUNTING
5. 5 RECOGNITION AND MEASUREMENT OF ASSETS ACQUIRED, LIABILITIES ASSUMED AND NON-CONTROLLING INTERESTS
6. 6 RECOGNISING AND MEASURING GOODWILL OR A GAIN IN A BARGAIN PURCHASE
7. 7 CONSIDERATION TRANSFERRED
8. 8 RECOGNISING AND MEASURING NON-CONTROLLING INTERESTS
9. 9 BUSINESS COMBINATIONS ACHIEVED IN STAGES (‘STEP ACQUISITIONS’)
10. 10 BARGAIN PURCHASE TRANSACTIONS
11. 11 ASSESSING WHAT IS PART OF THE EXCHANGE FOR THE ACQUIREE
12. 12 MEASUREMENT PERIOD
13. 13 SUBSEQUENT MEASUREMENT AND ACCOUNTING
14. 14 REVERSE ACQUISITIONS
15. 15 PUSH DOWN ACCOUNTING
16. 16 DISCLOSURES
17. REFERENCES
10 Common control business combinations
1. 1 INTRODUCTION
2. 2 THE IFRS 3 EXEMPTION
3. 3 ACCOUNTING FOR BUSINESS COMBINATIONS INVOLVING ENTITIES OR BUSINESSES UNDER COMMON CONTROL
4. 4 GROUP REORGANISATIONS
5. REFERENCES
11 Investments in associates and joint ventures
1. 1 INTRODUCTION
2. 2 OBJECTIVE AND SCOPE OF IAS 28
3. 3 DEFINITIONS
4. 4 SIGNIFICANT INFLUENCE
5. 5 EXEMPTIONS FROM APPLYING THE EQUITY METHOD
6. 6 CLASSIFICATION AS HELD FOR SALE (IFRS 5)
7. 7 APPLICATION OF THE EQUITY METHOD
8. 8 IMPAIRMENT LOSSES
9. 9 SEPARATE FINANCIAL STATEMENTS
10. 10 PRESENTATION AND DISCLOSURES
11. 11 FUTURE DEVELOPMENTS
12. REFERENCES
12 Joint arrangements
1. 1 INTRODUCTION
2. 2 EFFECTIVE DATE, OBJECTIVE AND SCOPE OF IFRS 11
3. 3 JOINT ARRANGEMENT
4. 4 JOINT CONTROL
5. 5 CLASSIFICATION OF A JOINT ARRANGEMENT: JOINT OPERATIONS AND JOINT VENTURES
6. 6 ACCOUNTING FOR JOINT OPERATIONS
7. 7 ACCOUNTING FOR JOINT VENTURES
8. 8 CONTINUOUS ASSESSMENT
9. 9 DISCLOSURES
10. REFERENCES
13 Disclosure of interests in other entities
1. 1 INTRODUCTION
2. 2 OBJECTIVE, SCOPE AND EFFECTIVE DATE OF IFRS 12
3. 3 DISCLOSURE OF SIGNIFICANT ESTIMATES AND JUDGEMENTS
4. 4 DISCLOSURE OF INTERESTS IN SUBSIDIARIES
5. 5 DISCLOSURE OF INTERESTS IN JOINT ARRANGEMENTS AND ASSOCIATES
6. 6 DISCLOSURE OF INTERESTS IN UNCONSOLIDATED STRUCTURED ENTITIES
7. REFERENCES
14 Fair value measurement
1. 1 INTRODUCTION AND BACKGROUND
2. 2 SCOPE
3. 3 DEFINITIONS
4. 4 THE FAIR VALUE FRAMEWORK
5. 5 THE ASSET OR LIABILITY
6. 6 THE PRINCIPAL (OR MOST ADVANTAGEOUS) MARKET
7. 7 MARKET PARTICIPANTS
8. 8 THE TRANSACTION
9. 9 THE PRICE
10. 10 APPLICATION TO NON-FINANCIAL ASSETS
11. 11 APPLICATION TO LIABILITIES AND AN ENTITY’S OWN EQUITY
12. 12 FINANCIAL ASSETS AND LIABILITIES WITH OFFSETTING POSITIONS
13. 13 FAIR VALUE AT INITIAL RECOGNITION
14. 14 VALUATION TECHNIQUES
15. 15 INPUTS TO VALUATION TECHNIQUES
16. 16 THE FAIR VALUE HIERARCHY
17. 17 LEVEL 1 INPUTS
18. 18 LEVEL 2 INPUTS
19. 19 LEVEL 3 INPUTS
20. 20 DISCLOSURES
21. 21 APPLICATION GUIDANCE – PRESENT VALUE TECHNIQUES
22. 22 EFFECTIVE DATE AND TRANSITION
23. 23 CONVERGENCE WITH US GAAP
24. REFERENCES
15 Foreign exchange
1. 1 INTRODUCTION
2. 2 IAS 21: OBJECTIVE, SCOPE AND DEFINITIONS
3. 3 SUMMARY OF THE APPROACH REQUIRED BY IAS 21
4. 4 DETERMINATION OF AN ENTITY’S FUNCTIONAL CURRENCY
5. 5 REPORTING FOREIGN CURRENCY TRANSACTIONS IN THE FUNCTIONAL CURRENCY OF AN ENTITY
6. 6 USE OF A PRESENTATION CURRENCY OTHER THAN THE FUNCTIONAL CURRENCY
7. 7 CHANGE OF PRESENTATION CURRENCY
8. 8 INTRODUCTION OF THE EURO
9. 9 TAX EFFECTS OF ALL EXCHANGE DIFFERENCES
10. 10 DISCLOSURE REQUIREMENTS
11. 11 FUTURE DEVELOPMENTS
12. REFERENCES
16 Hyperinflation
1. 1 INTRODUCTION
2. 2 THE REQUIREMENTS OF IAS 29
3. 3 SELECTION OF A GENERAL PRICE INDEX
4. 4 ANALYSIS AND RESTATEMENT OF THE STATEMENT OF FINANCIAL POSITION
5. 5 RESTATEMENT OF THE STATEMENT OF CHANGES IN EQUITY
6. 6 RESTATEMENT OF THE STATEMENT OF COMPREHENSIVE INCOME AND INCOME STATEMENT
7. 7 RESTATEMENT OF THE STATEMENT OF CASH FLOWS
8. 8 RESTATEMENT OF COMPARATIVE FIGURES
9. 9 INTERIM REPORTING
10. 10 TRANSITION
11. 11 TRANSLATION TO A DIFFERENT PRESENTATION CURRENCY
12. 12 DISCLOSURES
13. REFERENCES
17 Intangible assets
1. 1 INTRODUCTION
2. 2 OBJECTIVE AND SCOPE OF IAS 38
3. 3 RECOGNITION AND MEASUREMENT
4. 4 SEPARATE ACQUISITION
5. 5 ACQUISITION AS PART OF A BUSINESS COMBINATION
6. 6 INTERNALLY GENERATED INTANGIBLE ASSETS
7. 7 RECOGNITION OF AN EXPENSE
8. 8 MEASUREMENT AFTER INITIAL RECOGNITION
9. 9 AMORTISATION OF INTANGIBLE ASSETS
10. 10 DISCLOSURE
11. 11 SPECIFIC ISSUES REGARDING INTANGIBLE ASSETS
12. REFERENCES
18 Property, plant and equipment
1. 1 INTRODUCTION
2. 2 THE REQUIREMENTS OF IAS 16
3. 3 RECOGNITION
4. 4 MEASUREMENT AT RECOGNITION
5. 5 MEASUREMENT AFTER RECOGNITION: COST MODEL
6. 6 MEASUREMENT AFTER RECOGNITION: REVALUATION MODEL
7. 7 DERECOGNITION AND DISPOSAL
8. 8 IAS 16 DISCLOSURE REQUIREMENTS
9. REFERENCES
19 Investment property
1. 1 INTRODUCTION
2. 2 DEFINITIONS AND SCOPE
3. 3 RECOGNITION
4. 4 INITIAL MEASUREMENT
5. 5 MEASUREMENT AFTER INITIAL RECOGNITION
6. 6 THE FAIR VALUE MODEL
7. 7 THE COST MODEL
8. 8 IFRS 5 AND INVESTMENT PROPERTY
9. 9 TRANSFER OF ASSETS TO OR FROM INVESTMENT PROPERTY
10. 10 DISPOSAL OF INVESTMENT PROPERTY
11. 11 INTERIM REPORTING AND IAS 40
12. 12 THE DISCLOSURE REQUIREMENTS OF IAS 40
13. 13 FUTURE DEVELOPMENTS
14. REFERENCES
20 Impairment of fixed assets and goodwill
1. 1 INTRODUCTION
2. 2 WHEN AN IMPAIRMENT TEST IS REQUIRED
3. 3 DIVIDING THE ENTITY INTO CASH-GENERATING UNITS (CGUS)
4. 4 IDENTIFYING THE CARRYING AMOUNT OF CGU ASSETS
5. 5 RECOVERABLE AMOUNT
6. 6 FAIR VALUE LESS COSTS OF DISPOSAL
7. 7 DETERMINING VALUE IN USE (VIU)
8. 8 IMPAIRMENT OF GOODWILL
9. 9 NON-CONTROLLING INTERESTS – THE IMPACT ON GOODWILL IMPAIRMENT TESTING
10. 10 IMPAIRMENT OF INTANGIBLE ASSETS WITH AN INDEFINITE USEFUL LIFE
11. 11 RECOGNISING AND REVERSING IMPAIRMENT LOSSES
12. 12 GROUP AND SEPARATE FINANCIAL STATEMENT ISSUES
13. 13 DISCLOSURES REQUIRED BY IAS 36
14. REFERENCES
21 Capitalisation of borrowing costs
1. 1 INTRODUCTION
2. 2 THE REQUIREMENTS OF IAS 23
3. 3 QUALIFYING ASSETS
4. 4 DEFINITION OF BORROWING COSTS
5. 5 BORROWING COSTS ELIGIBLE FOR CAPITALISATION
6. 6 COMMENCEMENT, SUSPENSION AND CESSATION OF CAPITALISATION
7. 7 DISCLOSURE REQUIREMENTS
8. REFERENCES
22 Inventories
1. 1 INTRODUCTION
2. 2 IAS 2: OBJECTIVE, SCOPE AND DEFINITIONS
3. 3 MEASUREMENT
4. 4 REAL ESTATE INVENTORY
5. 5 RECOGNITION IN PROFIT OR LOSS
6. 6 DISCLOSURE REQUIREMENTS OF IAS 2
7. REFERENCES
23 Construction contracts (IAS 11)
1. 1 INTRODUCTION
2. 2 COMBINATION AND SEGMENTATION OF CONTRACTS
3. 3 CONTRACT REVENUE, COSTS AND EXPENSES
4. 4 DISCLOSURE REQUIREMENTS OF IAS 11
5. REFERENCES

Volume 2: Chapters 24 to 41

24 Leases (IAS 17)
1. 1 INTRODUCTION
2. 2 WHAT IS A LEASE?
3. 3 SCOPE AND DEFINITIONS OF IAS 17
4. 4 ACCOUNTING FOR FINANCE LEASES
5. 5 ACCOUNTING FOR OPERATING LEASES
6. 6 MODIFYING THE TERMS OF LEASES
7. 7 SALE AND LEASEBACK TRANSACTIONS
8. 8 SUB-LEASES AND BACK-TO-BACK LEASES
9. 9 DISCLOSURES REQUIRED BY IAS 17
10. REFERENCES
25 Leases (IFRS 16)
1. 1 INTRODUCTION
2. 2 OBJECTIVE AND SCOPE OF IFRS 16
3. 3 WHAT IS A LEASE?
4. 4 KEY CONCEPTS
5. 5 LESSEE ACCOUNTING
6. 6 LESSOR ACCOUNTING
7. 7 SUBLEASES
8. 8 SALE AND LEASEBACK TRANSACTIONS
9. 9 BUSINESS COMBINATIONS
10. 10 EFFECTIVE DATE AND TRANSITION
26 Government grants
1. 1 INTRODUCTION
2. 2 SCOPE OF IAS 20
3. 3 RECOGNITION AND MEASUREMENT
4. 4 PRESENTATION OF GRANTS
5. 5 GOVERNMENT GRANTS RELATED TO BIOLOGICAL ASSETS IN THE SCOPE OF IAS 41
6. 6 DISCLOSURES
7. REFERENCES
27 Service concession arrangements
1. 1 INTRODUCTION
2. 2 SCOPE OF IFRIC 12
3. 3 THE CONTROL MODEL
4. 4 ACCOUNTING BY THE CONCESSION OPERATOR: THE FINANCIAL ASSET AND INTANGIBLE ASSET MODELS
5. 5 REVENUE AND EXPENDITURE DURING THE OPERATIONS PHASE OF THE CONCESSION AGREEMENT
6. 6 DISCLOSURE REQUIREMENTS: SIC-29
7. REFERENCES
28 Provisions, contingent liabilities and contingent assets
1. 1 INTRODUCTION
2. 2 OBJECTIVE AND SCOPE OF IAS 37
3. 3 RECOGNITION
4. 4 MEASUREMENT
5. 5 CASES IN WHICH NO PROVISION SHOULD BE RECOGNISED
6. 6 SPECIFIC EXAMPLES OF PROVISIONS AND CONTINGENCIES
7. 7 DISCLOSURE REQUIREMENTS
8. REFERENCES
29 Revenue recognition (IAS 18)
1. 1 INTRODUCTION
2. 2 THE TIMING OF REVENUE RECOGNITION
3. 3 THE REQUIREMENTS OF IAS 18
4. 4 REVENUE RECOGNITION UNDER US GAAP
5. 5 PRACTICAL ISSUES
6. REFERENCES
30 Revenue from contracts with customers (IFRS 15)
1. 1 OBJECTIVE, EFFECTIVE DATE AND TRANSITION
2. 2 SCOPE
3. 3 IDENTIFY THE CONTRACT WITH THE CUSTOMER
4. 4 IDENTIFY THE PERFORMANCE OBLIGATIONS IN THE CONTRACT
5. 5 DETERMINE THE TRANSACTION PRICE
6. 6 ALLOCATE THE TRANSACTION PRICE TO THE PERFORMANCE OBLIGATIONS
7. 7 SATISFACTION OF PERFORMANCE OBLIGATIONS
8. 8 LICENCES OF INTELLECTUAL PROPERTY
9. 9 OTHER MEASUREMENT AND RECOGNITION TOPICS
10. 10 PRESENTATION AND DISCLOSURE
11. REFERENCES
31 Income taxes
1. 1 INTRODUCTION
2. 2 OBJECTIVE AND SCOPE OF IAS 12
3. 3 DEFINITIONS
4. 4 SCOPE
5. 5 CURRENT TAX
6. 6 DEFERRED TAX – TAX BASES AND TEMPORARY DIFFERENCES
7. 7 DEFERRED TAX – RECOGNITION
8. 8 DEFERRED TAX – MEASUREMENT
9. 9 UNCERTAIN TAX TREATMENTS
10. 10 ALLOCATION OF TAX CHARGE OR CREDIT
11. 11 CONSOLIDATED TAX RETURNS AND OFFSET OF TAXABLE PROFITS AND LOSSES WITHIN GROUPS
12. 12 BUSINESS COMBINATIONS
13. 13 PRESENTATION
14. 14 DISCLOSURE
15. REFERENCES
32 Share-based payment
1. 1 INTRODUCTION
2. 2 THE OBJECTIVE AND SCOPE OF IFRS 2
3. 3 GENERAL RECOGNITION PRINCIPLES
4. 4 EQUITY-SETTLED TRANSACTIONS – OVERVIEW
5. 5 EQUITY-SETTLED TRANSACTIONS – COST OF AWARDS
6. 6 EQUITY-SETTLED TRANSACTIONS – ALLOCATION OF EXPENSE
7. 7 EQUITY-SETTLED TRANSACTIONS – MODIFICATION, CANCELLATION AND SETTLEMENT
8. 8 EQUITY-SETTLED TRANSACTIONS – VALUATION
9. 9 CASH-SETTLED TRANSACTIONS
10. 10 TRANSACTIONS WITH EQUITY AND CASH ALTERNATIVES
11. 11 REPLACEMENT SHARE-BASED PAYMENT AWARDS ISSUED IN A BUSINESS COMBINATION
12. 12 GROUP SHARE SCHEMES
13. 13 DISCLOSURES
14. 14 TAXES RELATED TO SHARE-BASED PAYMENT TRANSACTIONS
15. 15 OTHER PRACTICAL ISSUES
16. 16 FIRST-TIME ADOPTION AND TRANSITIONAL PROVISIONS
17. REFERENCES
33 Employee benefits
1. 1 INTRODUCTION
2. 2 OBJECTIVE AND SCOPE OF IAS 19
3. 3 PENSIONS AND OTHER POST-EMPLOYMENT BENEFITS – DEFINED CONTRIBUTION AND DEFINED BENEFIT PLANS
4. 4 DEFINED CONTRIBUTION PLANS
5. 5 DEFINED BENEFIT PLANS – GENERAL
6. 6 DEFINED BENEFIT PLANS – PLAN ASSETS
7. 7 DEFINED BENEFIT PLANS – PLAN LIABILITIES
8. 8 DEFINED BENEFIT PLANS – TREATMENT OF THE PLAN SURPLUS OR DEFICIT IN THE STATEMENT OF FINANCIAL POSITION
9. 9 DEFINED BENEFIT PLANS – PRESENTATION OF THE NET DEFINED BENEFIT LIABILITY (ASSET)
10. 10 DEFINED BENEFIT PLANS – TREATMENT IN PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
11. 11 DEFINED BENEFIT PLANS – COSTS OF ADMINISTERING EMPLOYEE BENEFIT PLANS
12. 12 SHORT-TERM EMPLOYEE BENEFITS
13. 13 LONG-TERM EMPLOYEE BENEFITS OTHER THAN POST-EMPLOYMENT BENEFITS
14. 14 TERMINATION BENEFITS
15. 15 DISCLOSURE REQUIREMENTS
16. 16 POSSIBLE FUTURE DEVELOPMENTS
17. REFERENCES
34 Operating segments
1. 1 INTRODUCTION
2. 2 OBJECTIVE AND SCOPE OF IFRS 8
3. 3 IDENTIFYING A SINGLE SET OF OPERATING SEGMENTS
4. 4 MEASUREMENT
5. 5 INFORMATION TO BE DISCLOSED ABOUT REPORTABLE SEGMENTS
6. 6 ENTITY-WIDE DISCLOSURES FOR ALL ENTITIES
7. 7 RESULTS OF THE POST-IMPLEMENATION REVIEW OF IFRS 8
8. REFERENCES
35 Earnings per share
1. 1 INTRODUCTION
2. 2 OBJECTIVE AND SCOPE OF IAS 33
3. 3 THE BASIC EPS
4. 4 CHANGES IN OUTSTANDING ORDINARY SHARES
5. 5 MATTERS AFFECTING THE NUMERATOR
6. 6 DILUTED EARNINGS PER SHARE
7. 7 PRESENTATION, RESTATEMENT AND DISCLOSURE
8. 8 APPENDIX
9. REFERENCES
36 Events after the reporting period
1. 1 INTRODUCTION
2. 2 REQUIREMENTS OF IAS 10
3. 3 PRACTICAL ISSUES
4. REFERENCES
37 Related party disclosures
1. 1 INTRODUCTION
2. 2 REQUIREMENTS OF IAS 24
3. REFERENCES
38 Statement of cash flows
1. 1 INTRODUCTION
2. 2 OBJECTIVE AND SCOPE OF IAS 7
3. 3 CASH AND CASH EQUIVALENTS
4. 4 CLASSIFICATION IN THE STATEMENT OF CASH FLOWS
5. 5. OTHER CASH FLOW PRESENTATION ISSUES
6. 6 ADDITIONAL IAS 7 CONSIDERATIONS FOR GROUPS
7. 7 ADDITIONAL IAS 7 CONSIDERATIONS FOR FINANCIAL INSTITUTIONS
8. 8 REQUIREMENTS OF OTHER STANDARDS
9. REFERENCES
39 Interim financial reporting
1. 1 INTRODUCTION
2. 2 OBJECTIVE AND SCOPE OF IAS 34
3. 3 COMPONENTS, FORM AND CONTENT OF AN INTERIM FINANCIAL REPORT UNDER IAS 34
4. 4 DISCLOSURES IN CONDENSED FINANCIAL STATEMENTS
5. 5 PERIODS FOR WHICH INTERIM FINANCIAL STATEMENTS ARE REQUIRED TO BE PRESENTED
6. 6 MATERIALITY
7. 7 DISCLOSURE IN ANNUAL FINANCIAL STATEMENTS
8. 8 RECOGNITION AND MEASUREMENT
9. 9 EXAMPLES OF THE RECOGNITION AND MEASUREMENT PRINCIPLES
10. 10 USE OF ESTIMATES
11. 11 EFFECTIVE DATES AND TRANSITIONAL RULES
12. 12 FUTURE DEVELOPMENTS – PROPOSED AMENDMENTS TO IFRS 8 AND IAS 34 (ED/2017/2)
13. REFERENCES
40 Agriculture
1. 1 INTRODUCTION
2. 2 OBJECTIVE, DEFINITIONS AND SCOPE
3. 3 RECOGNITION AND MEASUREMENT PRINCIPLES
4. 4 MEASURING FAIR VALUE LESS COSTS TO SELL
5. 5 DISCLOSURE
6. 6 TRANSITION AND EFFECTIVE DATE
7. REFERENCES
41 Extractive industries
1. 1 INTRODUCTION AND BACKGROUND
2. 2 MINERAL RESERVES AND RESOURCES
3. 3 IFRS 6 – EXPLORATION FOR AND EVALUATION OF MINERAL RESOURCES
4. 4 UNIT OF ACCOUNT
5. 5 LEGAL RIGHTS TO EXPLORE FOR, DEVELOP AND PRODUCE MINERAL PROPERTIES
6. 6 RISK-SHARING ARRANGEMENTS
7. 7 INVESTMENTS IN THE EXTRACTIVE INDUSTRIES
8. 8 ACQUISITIONS
9. 9 FUNCTIONAL CURRENCY
10. 10 DECOMMISSIONING AND RESTORATION/REHABILITATION
11. 11 IMPAIRMENT OF ASSETS
12. 12 REVENUE RECOGNITION
13. 13 FINANCIAL INSTRUMENTS
14. 14 INVENTORIES
15. 15 PROPERTY, PLANT AND EQUIPMENT
16. 16 DEPRECIATION, DEPLETION AND AMORTISATION (DD&A)
17. 17 LONG-TERM CONTRACTS AND LEASES
18. 18 TOLLING ARRANGEMENTS
19. 19 TAXATION
20. 20 EVENTS AFTER THE REPORTING PERIOD
21. 21 GLOSSARY
22. REFERENCES

Volume 3: Chapters 42 to 56

42 Financial instruments: Introduction
1. 1 STANDARDS APPLYING TO FINANCIAL INSTRUMENTS
2. 2 ADOPTION OF IFRS IN THE EUROPEAN UNION
3. REFERENCES
43 Financial instruments: Definitions and scope
1. 1 INTRODUCTION
2. 2 WHAT IS A FINANCIAL INSTRUMENT?
3. 3 SCOPE
4. 4 CONTRACTS TO BUY OR SELL COMMODITIES AND OTHER NON-FINANCIAL ITEMS
5. REFERENCES
44 Financial instruments: Derivatives and embedded derivatives
1. 1 INTRODUCTION
2. 2 DEFINITION OF A DERIVATIVE
3. 3 EXAMPLES OF DERIVATIVES
4. 4 EMBEDDED DERIVATIVES
5. 5 EMBEDDED DERIVATIVES: THE MEANING OF ‘CLOSELY RELATED’
6. 6 IDENTIFYING THE TERMS OF EMBEDDED DERIVATIVES AND HOST CONTRACTS
7. 7 REASSESSMENT OF EMBEDDED DERIVATIVES
8. 8 LINKED AND SEPARATE TRANSACTIONS AND ‘SYNTHETIC’ INSTRUMENTS
9. REFERENCES
45 Financial instruments: Financial liabilities and equity
1. 1 INTRODUCTION
2. 2 OBJECTIVE AND SCOPE
3. 3 DEFINITIONS
4. 4 CLASSIFICATION OF INSTRUMENTS
5. 5 CONTRACTS SETTLED BY DELIVERY OF THE ENTITY’S OWN EQUITY INSTRUMENTS
6. 6 COMPOUND FINANCIAL INSTRUMENTS
7. 7 SETTLEMENT OF FINANCIAL LIABILITY WITH EQUITY INSTRUMENT
8. 8 INTEREST, DIVIDENDS, GAINS AND LOSSES
9. 9 TREASURY SHARES
10. 10 ‘HEDGING’ OF INSTRUMENTS CLASSIFIED AS EQUITY
11. 11 DERIVATIVES OVER OWN EQUITY INSTRUMENTS
12. 12 POSSIBLE FUTURE DEVELOPMENTS
13. REFERENCES
46 Financial instruments: Classification (IAS 39)
1. 1 INTRODUCTION
2. 2 ASSETS AND LIABILITIES AT FAIR VALUE THROUGH PROFIT OR LOSS
3. 3 HELD-TO-MATURITY INVESTMENTS
4. 4 LOANS AND RECEIVABLES
5. 5 AVAILABLE-FOR-SALE ASSETS
6. 6 RECLASSIFICATIONS
7. 7 CLASSIFICATION OF FINANCIAL INSTRUMENTS IN A BUSINESS COMBINATION
8. 8 FUTURE DEVELOPMENTS
9. REFERENCES
47 Financial instruments: Classification (IFRS 9)
1. 1 INTRODUCTION
2. 2 CLASSIFYING FINANCIAL ASSETS: AN OVERVIEW
3. 3 CLASSIFYING FINANCIAL LIABILITIES
4. 4 FINANCIAL ASSETS AND FINANCIAL LIABILITIES HELD FOR TRADING
5. 5 FINANCIAL ASSETS: THE ‘BUSINESS MODEL’ ASSESSMENT
6. 6 CHARACTERISTICS OF THE CONTRACTUAL CASH FLOWS OF THE INSTRUMENT
7. 7 DESIGNATION AT FAIR VALUE THROUGH PROFIT OR LOSS
8. 8 DESIGNATION OF NON-DERIVATIVE EQUITY INVESTMENTS AT FAIR VALUE THROUGH OTHER COMPREHENSIVE INCOME
9. 9 RECLASSIFICATION OF FINANCIAL ASSETS
10. 10 EFFECTIVE DATE AND TRANSITION
11. REFERENCES
48 Financial instruments: Recognition and initial measurement
1. 1 INTRODUCTION
2. 2 RECOGNITION (IAS 39 AND IFRS 9)
3. 3 INITIAL MEASUREMENT (IAS 39 AND IFRS 9)
4. REFERENCES
49 Financial instruments: Subsequent measurement (IAS 39)
1. 1 INTRODUCTION
2. 2 SUBSEQUENT MEASUREMENT AND RECOGNITION OF GAINS AND LOSSES
3. 3 AMORTISED COST AND THE EFFECTIVE INTEREST METHOD
4. 4 IMPAIRMENT
5. 5 FOREIGN CURRENCIES
6. REFERENCES
50 Financial instruments: Subsequent measurement (IFRS 9)
1. 1 INTRODUCTION
2. 2 SUBSEQUENT MEASUREMENT AND RECOGNITION OF GAINS AND LOSSES
3. 3 AMORTISED COST AND THE EFFECTIVE INTEREST METHOD
4. 4 FOREIGN CURRENCIES
5. 5 IMPAIRMENT
6. 6 EFFECTIVE DATE AND TRANSITION
7. REFERENCES
51 Financial instruments: Derecognition
1. 1 INTRODUCTION
2. 2 DEVELOPMENT OF IFRS
3. 3 DERECOGNITION – FINANCIAL ASSETS
4. 4 PRACTICAL APPLICATION OF THE DERECOGNITION CRITERIA
5. 5 ACCOUNTING TREATMENT
6. 6 DERECOGNITION – FINANCIAL LIABILITIES
7. 7 FUTURE DEVELOPMENTS
8. REFERENCES
52 Financial instruments: Hedge accounting (IAS 39)
1. 1 INTRODUCTION
2. 2 HEDGING INSTRUMENTS AND HEDGED ITEMS
3. 3 TYPES OF HEDGING RELATIONSHIPS
4. 4 ACCOUNTING FOR EFFECTIVE HEDGES
5. 5 QUALIFYING CONDITIONS FOR HEDGE ACCOUNTING
6. 6 PORTFOLIO (OR MACRO) HEDGING
7. REFERENCES
53 Financial instruments: Hedge accounting (IFRS 9)
1. 1 INTRODUCTION
2. 2 RISK MANAGEMENT
3. 3 HEDGED ITEMS
4. 4 HEDGING INSTRUMENTS
5. 5 QUALIFYING CRITERIA
6. 6 SUBSEQUENT ASSESSMENT OF EFFECTIVENESS, REBALANCING AND DISCONTINUATION
7. 7 ACCOUNTING FOR THE COSTS OF HEDGING
8. 8 PRESENTATION
9. 9 DISCLOSURES
10. 10 ALTERNATIVES TO HEDGE ACCOUNTING
11. 11 EFFECTIVE DATE AND TRANSITION
12. REFERENCES
54 Financial instruments: Presentation and disclosure
1. 1 INTRODUCTION
2. 2 SCOPE OF IFRS 7
3. 3 STRUCTURING THE DISCLOSURES
4. 4 SIGNIFICANCE OF FINANCIAL INSTRUMENTS FOR AN ENTITY’S FINANCIAL POSITION AND PERFORMANCE
5. 5 NATURE AND EXTENT OF RISKS ARISING FROM FINANCIAL INSTRUMENTS
6. 6 TRANSFERS OF FINANCIAL ASSETS
7. 7 PRESENTATION ON THE FACE OF THE FINANCIAL STATEMENTS AND RELATED DISCLOSURES
8. 8 EFFECTIVE DATES AND TRANSITIONAL PROVISIONS
9. 9 FUTURE DEVELOPMENTS
10. REFERENCES
55 Insurance contracts (IFRS 4)
1. 1 INTRODUCTION
2. 2 THE OBJECTIVES AND SCOPE OF IFRS 4
3. 3 THE DEFINITION OF AN INSURANCE CONTRACT
4. 4 EMBEDDED DERIVATIVES
5. 5 UNBUNDLING OF DEPOSIT COMPONENTS
6. 6 DISCRETIONARY PARTICIPATION FEATURES
7. 7 SELECTION OF ACCOUNTING POLICIES
8. 8 CHANGES IN ACCOUNTING POLICIES
9. 9 INSURANCE CONTRACTS ACQUIRED IN BUSINESS COMBINATIONS AND PORTFOLIO TRANSFERS
10. 10 APPLYING IFRS 9 – FINANCIAL INSTRUMENTS – WITH IFRS 4 – INSURANCE CONTRACTS
11. 11 DISCLOSURE
12. REFERENCES
56 Insurance contracts (IFRS 17)
1. 1 INTRODUCTION
2. 2 THE OBJECTIVE, DEFINITIONS AND SCOPE OF IFRS 17
3. 3 THE DEFINITION OF AN INSURANCE CONTRACT
4. 4 SEPARATING COMPONENTS FROM AN INSURANCE CONTRACT
5. 5 LEVEL OF AGGREGATION
6. 6 RECOGNITION
7. 7 MEASUREMENT – SUMMARY
8. 8 MEASUREMENT – GENERAL MODEL
9. 9 MEASUREMENT – PREMIUM ALLOCATION APPROACH
10. 10 MEASUREMENT – REINSURANCE CONTRACTS HELD
11. 11 MEASUREMENT – CONTRACTS WITH PARTICIPATION FEATURES
12. 12 MODIFICATION AND DERECOGNITION
13. 13 ACQUISITIONS OF INSURANCE CONTRACTS
14. 14 PRESENTATION IN THE STATEMENT OF FINANCIAL POSITION
15. 15 PRESENTATION IN THE STATEMENT OF FINANCIAL PERFORMANCE
16. 16 DISCLOSURE
17. 17 EFFECTIVE DATE AND TRANSITION
18. REFERENCES

Index of extracts from financial statements

Index of standards

Index

End User License Agreement

List of Illustrations

Chapter 2

Figure 2.1

Chapter 6

Figure 6.1
Figure 6.2
Figure 6.3
Figure 6.6
Figure 6.7
Figure 6.8
Figure 6.9

Chapter 14

Figure 14.2
Figure 14.3

Chapter 20

Figure 20.1

Chapter 30

Figure 30.3
Figure 30.5

Chapter 32

Figure 32.1
Figure 32.2
Figure 32.3
Figure 32.4
Figure 32.5

Chapter 40

Figure 40.4

Chapter 41

Figure 41.1
Figure 41.2
Figure 41.3

Chapter 50

Figure 50.1
Figure 50.2
Figure 50.3
Figure 50.4

Chapter 51

Figure 51.1

Chapter 52

Figure 52.1
Figure 52.2
Figure 52.3

Chapter 53

Figure 53.1
Figure 53.2

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