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Thank you for your comments.

IFRS 5 states that the Company shall measure NCA classified as held for distribution at lower of Carrying amount and FV less cost to distribute. So the carrying value would be transferred to equity on the date the asset is transferred or I should make fair value adjustment on classification date? Ar...

Νο IFRIC 17 does not apply to a distribution of non-cash-assets that is ultimately controlled by the same party or parties before and after the distribution. This means that all distributions to owners where there are no changes in control before and after the distribution are outside IFRIC 17? And ...

Hi guys, I have a hard time understanding the difference between NCA that is classified as held for distribution to owners in accordance with IFRS 5 and IFRIC 17 — Distributions of Non-cash Assets to Owners. As per IFRS 5 (Par 15A) a Company shall measure NCA classified as held for distribution at l...

Thank u guys!

Thank u guys. The contributions are non refundable and are made solely for charitable and humanitarian purposes which may take several forms and are made by the foundation. The foundation is very well known and its made its mark. It was also in the world news in recent weeks since its helping a lot ...

Hi guys, I was wandering if you can help me. I have a client (Ltd Company) which set up a non-governmental organization/foundation abroad through which it implements its humanitarian, social and charitable initiatives. And during the period sends large amounts of money to the foundation which are sh...

I think that the reason they want to FV the subsidiary is based on tax incentives in the foreign jurisdiction the shareholder is based.
Is the change from cost to FV considered a change in accounting policy as per IAS 8? And if yes does it mean that retrospective corrections needs to be made?

Hi guys, I would appreciate your input on this. A parent Company wishes to Fair Value its subsidiary in it's separate financial statements. As per IAS 27 par.10 this can be made. Therefore, a valuation took place and fair value was found to be €10,000,000. Cost was €500,000. Parent selected FVTOCI c...

Thanks for the input... I would use my judgment I guess

I may not explained it as thoroughly. The subsidiary (Company B) will use the services of the individual not the parent. The parent will just settle via shares of the subsidiary as explained in the senario

I found the theory for the classification initially but i couldn't find a practical example which would state what happens in the following: 1) With the changes in the Fair Value of the liability in the Parent separate FS. The theory in Cash Settled SBP says that changes go through P/L. But i guess ...

Thank you for the reply,

Because it is the parent who is going to give the shares in the subsidiary to the individual not the subsidiary itself.

For Parent has lets say 80% holding in subsidiary and will give a portion of its shares to the individual. Settlement therefore will be made by parent.

They are not exempt. You need to prepare ECL for your bank balances as well.

Hi to all, I would appreciate your input and thoughts I have a situation where a Parent Company (Company A) to a large group engaged in a contract with an individual where the group will receive the full time’ services of this individual for a period of 5 years. These services will include developme...

I Agree. Thank u.

Hello everyone,

In case Company A holds 35% in Company B and 2 of the UBO's of Company's A directly hold another 20% this makes Company B a subsidiary?

Is the direct ownership from UBO's affecting the assessment of control for Company A?

Thanks !!

Thank you for the replies! I have seen those but it seems that they provide more information about the acquirer and not the issuer. In any case thanks anyways!

Hi to all, I would appreciate your views. A client has created a P2P Exchange platform for cryptocurrency trading which will target not only professional traders but also normal users who just want to exchange their coins for fiat or for other cryptos in a quick, cheap and efficient way. The idea is...

I am also confused from IFRS 15 ''Costs to fulfil a contract'' guidelines. In accordance with IFRS 15 any costs to fulfil a contract are recognised as an asset under IFRS 15 only if they: - Relate directly to a contract, or to an anticipated contract that can be specifically identified - Generate or...

Regarding your 2nd point for the presentation of milestone payments, you mean that all payments in relation to works completed (as per the agreement) must be Debited to inventory whereas any other payments that are not directly related to any milestone should be shown as prepayments and transferred ...

Hi Marek thanks for the reply.

Yes but for executory contracts paragraph B3.1.2 (b) states that if the commitment is to buy non-financial asset (as in this case), the fair value of the liability is recognized on the commitment date.

Am I missing something?

Hello everyone! I am really confused about this, I would appreciate your thoughts. Company A signed contracts with developer to purchase a whole complex of total 6 apartments. Project has just started and the construction will complete in 18 months. Company's A operations are the trading of properti...

Hii, In my personal opinion, since the rights and obligations of the original lease agreement have been assigned to a new lessee, the original lessee should derecognize entirely the ROU and the lease liability. The only thing that remains is a commitment/guarantee to repay in case the new lessee def...

Once in OCI, always in OCI....

Thank u!

Fair Value classification with the credit entry to shareholder contributions is what u should do.

Agreed!

Can I use methods for variable consideration used in IFRS 15??
- expected value method or
- most likely outcome

And create an expectation which will then be used and included as part of the consideration??

I agree.... that would have save me same time