Search found 2129 matches

by Marek Muc
17 Aug 2022, 14:42
Forum: IFRS-related topics
Topic: Subsequent measurement of loan on revolving basis under IFRS 9
Replies: 3
Views: 19

Re: Subsequent measurement of loan on revolving basis under IFRS 9

Interesting, why didn't the government grant the loan to Company B directly? Firstly, I would check whether the offsetting criteria are satisfied to determine whether A should recognise this loan on a net or gross basis: https://ifrscommunity.com/knowledge-base/offsetting-of-financial-instruments/ A...
by Marek Muc
16 Aug 2022, 19:01
Forum: IFRS-related topics
Topic: IFRS 9 ECL calculation after a contractual modification
Replies: 7
Views: 51

Re: IFRS 9 ECL calculation after a contractual modification

Ok but then you need to somehow take into account the fact that amortised cost is below the contactual cash flows. I don't have time to check your math, but it seems that 0.9 is too low compared to 1.8. What's your rationale?
by Marek Muc
16 Aug 2022, 18:46
Forum: IFRS-related topics
Topic: IFRS 9 ECL calculation after a contractual modification
Replies: 7
Views: 51

Re: IFRS 9 ECL calculation after a contractual modification

If I understand correctly, the expected cash shortfall, and hence the ECL, amounts to 1.8 CU
by Marek Muc
16 Aug 2022, 16:09
Forum: IFRS-related topics
Topic: IFRS 9 ECL calculation after a contractual modification
Replies: 7
Views: 51

Re: IFRS 9 ECL calculation after a contractual modification

Hi, yes, you need to recognise a one-off loss immediately in P/L: https://ifrscommunity.com/knowledge-base/amortised-cost-and-effective-interest-rate/#link-revisions-to-and-modifications-of-cash-flows I don't think you can offset that loss with an impairment 'gain'. There are probably a few ways to ...
by Marek Muc
11 Aug 2022, 19:05
Forum: After hours
Topic: Search function
Replies: 1
Views: 30

Re: Search function

there's no better search than Google! but hardly anyone knows how to use its more advanced features...

if you want to search for something on a specific website, use 'site:' operator:

https://developers.google.com/search/do ... earch-site
by Marek Muc
11 Aug 2022, 14:49
Forum: IFRS-related topics
Topic: IFRS 16: Treatment of lease liability under IAS 17
Replies: 6
Views: 86

Re: IFRS 16: Treatment of lease liability under IAS 17

You need to diligently go through paragraphs C7 to C11 of IFRS 16.
by Marek Muc
11 Aug 2022, 13:35
Forum: IFRS-related topics
Topic: IFRS 16: Treatment of lease liability under IAS 17
Replies: 6
Views: 86

Re: IFRS 16: Treatment of lease liability under IAS 17

I thought everyone has already transitioned to IFRS 16 :)

There are two methods of transition allowed by IFRS 16 (full retrospective or modified retrospective), have a read:

https://ifrscommunity.com/knowledge-bas ... o-ifrs-16/

Which one did you choose?
by Marek Muc
10 Aug 2022, 12:45
Forum: IFRS-related topics
Topic: IFRS 16- head lease modifications for lessee-sublessor
Replies: 1
Views: 50

Re: IFRS 16- head lease modifications for lessee-sublessor

I would apply general requirements anyway with the possible implication that some entries may end up in P/L instead of adjusting RoU

https://ifrscommunity.com/knowledge-bas ... fications/
by Marek Muc
08 Aug 2022, 12:57
Forum: IFRS-related topics
Topic: Revenue and Expense Netting
Replies: 5
Views: 111

Re: Revenue and Expense Netting

maybe it's not clear, I understood that they are paying some marketing fees to their customer
by Marek Muc
08 Aug 2022, 12:55
Forum: IFRS-related topics
Topic: Revolving credit facilities Example 10
Replies: 3
Views: 63

Re: Revolving credit facilities Example 10

Sorry but distributing copyright materials isn't allowed here
by Marek Muc
07 Aug 2022, 12:58
Forum: IFRS-related topics
Topic: IFRS 16 Advance Payment - Cash flow presentation
Replies: 7
Views: 104

Re: IFRS 16 Advance Payment - Cash flow presentation

Does point c apply to your lease?
by Marek Muc
04 Aug 2022, 16:47
Forum: IFRS-related topics
Topic: Revenue and Expense Netting
Replies: 5
Views: 111

Re: Revenue and Expense Netting

1. You need to determine whether you're an agent or a principal: https://ifrscommunity.com/knowledge-base/principal-vs-agent-revenue-gross-vs-net/ 2. You need to be careful here, it may be the case that you *must* offset the revenue. It largely depends on whether you're receiving a distinct marketin...
by Marek Muc
04 Aug 2022, 16:41
Forum: IFRS-related topics
Topic: IFRS 16 Advance Payment - Cash flow presentation
Replies: 7
Views: 104

Re: IFRS 16 Advance Payment - Cash flow presentation

This payment gives rise to a RoU asset, so I would present it as investing cash flow. However, if the payment is made after the lease commencement date, then it's a repayment of the related lease liability and hence shown within financing activities.

Which scenario applies to you?
by Marek Muc
04 Aug 2022, 16:34
Forum: IFRS-related topics
Topic: Fair Value of Financial Instrument
Replies: 10
Views: 122

Re: Fair Value of Financial Instrument

It's true that fair value should be disclosed also for assets/liabilities carried at amortised cost. This is a requirement set out in IFRS 7.25. It's even required in interim financial statements! For floating rate instruments issuers often say that 'the carrying amount is a reasonable approximation...
by Marek Muc
03 Aug 2022, 11:54
Forum: IFRS-related topics
Topic: 1yr office lease term but with auto renewal 1yr every year
Replies: 6
Views: 104

Re: 1yr office lease term but with auto renewal 1yr every year

It is actually quite common in Poland to have an evergreen real estate lease contract with a relatively short notice period. Even for quite important locations.
by Marek Muc
03 Aug 2022, 10:23
Forum: IFRS-related topics
Topic: 1yr office lease term but with auto renewal 1yr every year
Replies: 6
Views: 104

Re: 1yr office lease term but with auto renewal 1yr every year

Leo wrote: 02 Aug 2022, 19:51 "Tactically Using Repeat Short-Term Agreements Is Not Allowed"
By whom? :lol:
by Marek Muc
02 Aug 2022, 13:55
Forum: IFRS-related topics
Topic: Intra-group transactions in separate financial statements
Replies: 5
Views: 621

Re: Intra-group transactions in separate financial statements

I was thinking about guarantees relating to undrawn facilities, but now I'm wondering if these should be eliminated anyway...
by Marek Muc
02 Aug 2022, 13:53
Forum: General accounting and financial reporting discussion
Topic: Lease Ammortization
Replies: 5
Views: 143

Re: Lease Ammortization

What's the prize? :lol:
by Marek Muc
02 Aug 2022, 13:15
Forum: IFRS-related topics
Topic: Intra-group transactions in separate financial statements
Replies: 5
Views: 621

Re: Intra-group transactions in separate financial statements

Thanks DJP, that's a good point, I will add it.
by Marek Muc
02 Aug 2022, 11:03
Forum: IFRS-related topics
Topic: Share Based Payment
Replies: 4
Views: 74

Re: Share Based Payment

Leo wrote: 01 Aug 2022, 22:45 Free shares to employees, yes.
Do you see employees in the original question?
by Marek Muc
02 Aug 2022, 10:59
Forum: IFRS-related topics
Topic: IFSR 16 - Prepayments
Replies: 7
Views: 124

Re: IFSR 16 - Prepayments

If you prepaid several years, then RoU will be higher than the lease liability as the prepaid amount will obviously be excluded from lease liability. If you can't arrive at nil lease liability at the end of lease term, then you need to double check your formulas in your spreadsheet. Use the excel fi...
by Marek Muc
02 Aug 2022, 10:55
Forum: IFRS-related topics
Topic: Share Based Payment
Replies: 4
Views: 74

Re: Share Based Payment

Free shares given to third parties in exchange for services are in the scope if IFRS 2, you need to recognise corresponding expense.

https://ifrscommunity.com/knowledge-bas ... d-payment/
by Marek Muc
29 Jul 2022, 20:15
Forum: General accounting and financial reporting discussion
Topic: IASB sets out its 2022–2026 priorities
Replies: 0
Views: 58

IASB sets out its 2022–2026 priorities

https://www.ifrs.org/content/dam/ifrs/project/third-agenda-consultation/thirdagenda-snapshot-july2022.pdf The three main strategic priorities are to: - maintain the strategic direction and balance of the IASB’s activities while increasing slightly efforts to develop digital financial reporting and ...
by Marek Muc
28 Jul 2022, 18:30
Forum: General accounting and financial reporting discussion
Topic: Captive cell accountig
Replies: 6
Views: 109

Re: Captive cell accountig

These control criteria are relevant here:

https://ifrscommunity.com/knowledge-bas ... nk-control

Are they satisfied?