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A company changes its functional currency from EUR to USD (with effect from 1.1.2020) Financial statements in all previous years were presented in EUR and will now be presented in USD. As at 31.12.2020 and 31.12.2019 there is a payable balance in original currency other than USD and EUR (for example...

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Ok. The same applies if in the building that has been classified as investment property, there are furnitures? Furnitures will be depreciated separately but will also be included under Inv. Property category, correct?

A Company purchased a plot of land including a building on it. In its books is classified as an investment property . Depreciation of 3% applies.
My question : Do we have to split value of land and value of building and apply depreciation 3% only in building value?

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Is it acceptable for a Company to has an accounting policy where the transactions with common control companies are recorded directly in equity?as transactions with company's onwers? (E.g the Profit / loss on sale of shares between common control companies)
Is anyone familiar with such a case?

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Through a valuation report prepared by valuers assigned by the Company's Management.

Hi, Investments in subsidiaries measured at fair value, under IFRS 9. Are these invesments subject to impairment test under IAS 36. As per my understanding , no! For example : As at 31/12/2022 do we have to compare the carrying value of these investments to their net assets in order to check whether...

Separate FS: As far as i know when there is for example a sale of subsidiary to a related company ,seling price being over and above the subsidiary 's fair value ,is considered as a sale not performed on an arms length basis hence the profit from sale can be recognised directly in equity. Does anyon...

Ok thanks for help

So as per my understanding ,
forex and pure change in FV will be under
the same column in equity "FV reserve".
It should be in one line or two separate lines under the same column? What do you think?

Preparation of parents stand alone fs in USD : Measurement basis for the foreirg subsidiary is at FVTOCi. FV is determined based on valuation report giving a MV in UAH since subsidiary is Ukrainian. The value of subsidiary at year end also includes forex. This forex should presented in OCi as the fv...

Ok thanks

Bonds are now held for long term purposes and not for immediate trade.

The fact that previously were recognised at FV through Profit and Loss and now are recorded at FVTOCI does not constitute a change in accounting policy?

Change in company's business model. Its a change in accounting policy correct

Reclassification of bonds from FVTPL to FVTOCI is considered to be a change in accounting policy? and has to be applied retrospectively?

Thnks

Separate FS

Company A (our audit client) concerning its transactions in shares with common control companies applies the book value method : If Company A purchases shares in a subsidiary/ associate from a common control company , these shares will be recognised at book value . (value that the seller had in its ...

Yes, but what the accounting entries should be?
On initial recognition:
Dr profit and loss with an expense
Cr Liability resulted from guarantee contract
At year end:
Dr Liability resulted from guarantee contract
and Cr profit and loss with an income (amortisation of liability)

The parent does not have any benefit!

Hi could you please help? We are doing the audit of a Company for the year ended 31.12.2021. Company is guarantor in its subsidiary's bank loan. Do we need to adjust in Company's FS a liability related to this guarantee? Subsidiary at the moment its ok with its obligations against the bank. (There a...

In 2020 mistakly lease liability included under borrowings. In 2021 is presesented correct under lease liabilities. It will be "bad" presentation not to reclassify also in 2020.... But why i need a 3rd balance sheet? Is not enough to indicate in balance sheet in comparative column the word...

Lets say that we had a reclassidication error in PY's financial statements and we corrected comparatives in CY's financial statememts . (Reclassification error in liabilities....Lease Liability included in borrowings instead in a separate category) Do i need to write in CYs FS abous this? And to put...

thanksss

So lets say that during 2021 by changing accounting policy for subsidiaries that were previously at cost now revalued at FV. Retrospetive means, that this revaluation at FV should had taken place also in prior years . (in 2020 this subsidiary should had also presented in FV)
Correct ?

ok thank you!