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Great reference Ketan!

An entity issues 50,000 convertible bonds of total 50,000 face value and determines that there is an equity component, so say €30,000 treated as liability, and €20,000 as equity in its own books on day 1, Per IAS 32. A conversion event then takes place, so that the bond is extinguished mandatorily b...

Are the remaining requirements within your control?

If that's the topic of interest I believe there's an extensive thread about put and call options over NCI elsewhere.

Is it the right to a general use of 10 containers' worth of capacity, or 10 specific identifiable containers?

for me, during that time yes but not after. the underlying point being that which that relationship exists there is the opportunity for non-arms length transaction etc hence requirement to disclose.

not a chance in policy for the subsidiary for me, since the policy itself is unchanged. its method of identifying the appropriate accrual has changed. but it's not a restatement either is it because the prior year was based on best information knowable at the time.

Certainly seen a big 4 document expressing that potential outcome which was based on saying that if you were to recall the loan (given that it is on demand) then the counterparty would default (such as in the example I gave) so the question is what the pattern of cash flows will be to collect the de...

When it comes to related parties your option is perhaps around substance - maybe there's no intention of getting it back, or maybe they used the loan to buy a bespoke machine which will generate a return over 100 years so there's no prospect of being able to recall the loan therefore you'd look at e...

Leo wrote: ↑18 May 2023, 11:20 I suggest you could create a extension where interesting posts can are archived by accounting standard, and refine it event to specific area under the standard.

Maybe hire a summer trainee?

viewtopic.php?t=264

what was the objective, was it a distribution of value in share form? Maybe it's a dividend in B's book?

Agree if the assets/activities of that company itself are continuing.

Not sure I have seen it but will be happy to see an example!

There was a case recently where a listed UK company recorded an interim dividend as a liability and the FRC (regulator) said it was wrong and shouldn't be a liability, even though publicly declared, and not recognised until actually paid even though a public announcement was made of the dividend amo...

Marek Muc wrote: ↑11 May 2023, 13:02 and BTW prepayments are intangible assets
https://ifrscommunity.com/knowledge-bas ... d-expenses

And therefore sit in non-current even if benefit is current?

Ouch. are they all in the same country or might there be an opportunity to 'release' some balances and implement better processes/checks from now on?

I'd like to know if you absolutely must sell back the shares in all cases, including on death, on retirement, and after a long career. And is it a share class which is entitled to voting and dividends.

How about whether it's sufficiently clear whether a parent guaranteeing a subsidiaries' loan should be covered by IFRS 17

What's the question? There may be a member who has enough knowledge to answer. It's a complex standard.

so they get shares at a nominal value and get a loan to help pay, then if they leave another 3 years later they have to sell back at market value (presumably, or the same $1?). So they might own the shares for 30 years if they spend a career there. so in effect it's like a growth share scheme where ...

so that it actually cost 800k?

yes so like a bank, cash and liability.

Yes don't believe it has any impact on separate financial statements, that just shows interests in shares regardless of what it constitutes.

which para of ias27 are you looking at?

business combination can also occur in separate financial statements if you buy trade and assets which are a business.

It might well be a business combination but not strictly, that's because the company you buy the shares in might just have one laptop on the balance sheet, no employees, no cash, no operation etc. it needs to constitute a business to be a business combination and a business is a set of operations/in...

A transfer of shares isn't necessarily a business combination, and a business combination doesn't require a transfer of shares.
You can buy 100% of a company's shares but it's an asset acquisition, or you can acquire trade and assets (but not shares) and it can be a business combination.

I don't see why that would be that case. Any company could pay out a dividend which for example is a distribution explicitly stated as a return of capital by the investee, so the investor's accounting choices shouldn't affect that?

For avoidance of doubt, are you saying that you are intending to retranslate the equity interest in the sub? That's not a monetary item. The subsidiary will retranslate that loan like any other, but presumably the loan is denominated in either the parent's or the subsidiary's local currency so why d...

you need to determine the nature of that loan... is it in substance an investment ie not expected to recover for many years in line with the group strategy, or is it a day to day trading balance? that's the bit you translate and can be PL or OCI depending on answer

Judgement.