To avoid confusion, I agree with your description and believe its the accepted way to describe it.
Thanks again.
Search found 5 matches
- 14 Dec 2021, 22:31
- Forum: IFRS-related topics
- Topic: Offsetting a financial asset and a financial liability
- Replies: 4
- Views: 1202
- 14 Dec 2021, 14:56
- Forum: IFRS-related topics
- Topic: Offsetting a financial asset and a financial liability
- Replies: 4
- Views: 1202
Re: Offsetting a financial asset and a financial liability
Thanks for your input DJP, Regarding the offsetting, I realized I was wrong in my assessment last night. Thanks for confirming. With regards to the accounting for a fair value hedge on a debt measured at amortized cost, assuming the hedge is perfectly effective I believe the way you and I described ...
- 13 Dec 2021, 21:28
- Forum: IFRS-related topics
- Topic: Offsetting a financial asset and a financial liability
- Replies: 4
- Views: 1202
Offsetting a financial asset and a financial liability
Hey all, I have another financial instrument question that continues down the path started from my previous question I posted (https://ifrscommunity.com/forum/viewtopic.php?f=4&t=794) Summary: * Company has fixed rate debt and measures it at amortized cost * Entered into floating interest rate s...
- 01 Dec 2021, 15:28
- Forum: IFRS-related topics
- Topic: Hedge accounting - ineffective portion on FV hedge
- Replies: 3
- Views: 1100
Re: Hedge accounting - ineffective portion on FV hedge
In a nutshell, this discloure is requiring you to show the carrying amount of the hedged item (debt instrument at amortised cost) and the accumulated fair value adjustments that you have been bookinkg on top of the amortised cost (because you are applying hedge accounting). Also please bear in mind...
- 30 Nov 2021, 21:03
- Forum: IFRS-related topics
- Topic: Hedge accounting - ineffective portion on FV hedge
- Replies: 3
- Views: 1100
Hedge accounting - ineffective portion on FV hedge
Hi all, I'm running into some challenges with IFRS 7 hedge accounting disclosures, but first some background information: * Hedged item: Company's debt with fixed interest rates (debt measured at amortized cost) * Hedging item: Swap with variable interest rates * Applying Fair Value Hedge accounting...