Search found 1309 matches

by JRSB
31 Mar 2023, 16:47
Forum: IFRS-related topics
Topic: Fixed assets or Prepayment
Replies: 4
Views: 1123

Re: Fixed assets or Prepayment

From your description, it's a SaaS contract for a service, so just release to P&L over time, so prepayment released over 2 years.
by JRSB
31 Mar 2023, 11:13
Forum: IFRS-related topics
Topic: IAS 8
Replies: 11
Views: 2600

Re: IAS 8

yes
by JRSB
31 Mar 2023, 11:11
Forum: IFRS-related topics
Topic: Fixed assets or Prepayment
Replies: 4
Views: 1123

Re: Fixed assets or Prepayment

A lease is exclusive rights over a specific asset, so not that.
You paid for the 3 year subscription up front right?
by JRSB
30 Mar 2023, 20:30
Forum: IFRS-related topics
Topic: IAS 38- para 71
Replies: 2
Views: 851

Re: IAS 38- para 71

may be answering your own question, if didn't know it was an asset at the time, ie it was research at that point, and now it's development you want to capitalise the research. or just a mistake as MM said. look forward to the additional detail
by JRSB
29 Mar 2023, 09:47
Forum: IFRS-related topics
Topic: Capitalization of intercompany expense
Replies: 9
Views: 1359

Re: Capitalization of intercompany expense

I wouldn't describe employees of the subsidiary as being expenses external to the group but probably a terminology point
by JRSB
28 Mar 2023, 21:14
Forum: IFRS-related topics
Topic: Capitalization of intercompany expense
Replies: 9
Views: 1359

Re: Capitalization of intercompany expense

why only capitalise expenses external to the group? the costs might be salaries of employees of the sub as part of an internally generated development asset?
by JRSB
28 Mar 2023, 20:04
Forum: General accounting and financial reporting discussion
Topic: Setting up a Non-profit-organization
Replies: 5
Views: 12948

Re: Setting up a Non-profit-organization

what are they in substance? probably contributions /donations with no expectation of getting it back? but depends how 'foundations' operate in that country, maybe there are ones where you can contribute capital so that the foundation spends the income generated from it then returns the capital when ...
by JRSB
28 Mar 2023, 20:01
Forum: IFRS-related topics
Topic: Capitalization of intercompany expense
Replies: 9
Views: 1359

Re: Capitalization of intercompany expense

capitalise on consol too.

sub Cr bank Dr interco
parent Dr asset cr interco

you say 'cost plus' so sounds like profit to remove on consol too so group development asset may be less than parent's own books
by JRSB
27 Mar 2023, 14:12
Forum: IFRS-related topics
Topic: Operations or Investment
Replies: 2
Views: 1002

Re: Operations or Investment

PPE
by JRSB
26 Mar 2023, 14:56
Forum: IFRS-related topics
Topic: How often to prepare consol?
Replies: 3
Views: 789

Re: How often to prepare consol?

Setting up for failure at year end if you don't consider group issues until then.... maybe you have very simple structure and no real consolidation issues to worry about, unlikely in a 'complex' group....
by JRSB
20 Mar 2023, 14:23
Forum: IFRS-related topics
Topic: Unrealised FX Losses treatment
Replies: 2
Views: 774

Re: Unrealised FX Losses treatment

P&L reserves brought forward are at their historic average rate for each year so aren't continually translated
by JRSB
20 Mar 2023, 10:54
Forum: General accounting and financial reporting discussion
Topic: Consolidation of branches
Replies: 5
Views: 13370

Re: Consolidation of branches

In some cases only the activities of a branch are taxable so you need separate ledgers to isolate tax sensitive items, etc I have seen this for example in France where the ledgers are mandated by law (I believe) even though it was just a branch of a UK company. Then there was a consolidation (albeit...
by JRSB
20 Mar 2023, 10:51
Forum: General accounting and financial reporting discussion
Topic: Share price question
Replies: 6
Views: 13245

Re: Share price question

Marek Muc wrote: 19 Mar 2023, 13:56 @JRSB - sorry but I don't understand your last post
question was for poster.... to me, delisting means taking a company private, so wondering why that means you can 'refund' shareholders. perhaps the investment was more like debt. 'obviously I need to refund shareholders' isn't obvious to me!
by JRSB
20 Mar 2023, 10:47
Forum: IFRS-related topics
Topic: Impairment for Corporate Office
Replies: 2
Views: 770

Re: Impairment for Corporate Office

apportion corporate assets to CGUs on a reasonable and consistent basis
by JRSB
18 Mar 2023, 18:43
Forum: General accounting and financial reporting discussion
Topic: Consolidation of branches
Replies: 5
Views: 13370

Re: Consolidation of branches

same principles as consolidating different entities. I assume you mean branch in the UK legal sense which is effectively divisions of the same legal entity, ie you might operate separate P&Ls but legally all the same company. So same as 'normal' consolidations , remove intercompany trading etc, ...
by JRSB
18 Mar 2023, 18:41
Forum: General accounting and financial reporting discussion
Topic: Share price question
Replies: 6
Views: 13245

Re: Share price question

Why would delisting mean you can 'refund' shareholders?
by JRSB
14 Mar 2023, 10:47
Forum: IFRS-related topics
Topic: IFRS 9 - Loan facility at below market interest rate (intercompany loan)
Replies: 6
Views: 1262

Re: IFRS 9 - Loan facility at below market interest rate (intercompany loan)

when you say 'based on effective interest rate', do you mean by reference to a market rate of interest, ie what a third party funder/bank would have charged? you say repayment is 'within 6 years' but is there anything more concrete to show this is non-current, ie it is repayable 'in 6 years time' et...
by JRSB
14 Mar 2023, 10:44
Forum: IFRS-related topics
Topic: Interpretation of "Loan term"
Replies: 5
Views: 1245

Re: Interpretation of "Loan term"

Seems like almost the definition of equity doesn't it, although is it repaid in preference to shareholders or alongside? Sounds like company and owner are both government so it won't make much difference perhaps
by JRSB
12 Mar 2023, 13:08
Forum: General accounting and financial reporting discussion
Topic: Possible changes to the EY structure
Replies: 17
Views: 25504

Re: Possible changes to the EY structure

I read elsewhere it wasn't shelved, just ongoing discussion about where the tax practice ends up after the changes. Because there's tax consulting but you also need tax experts in an audit practice.
by JRSB
12 Mar 2023, 12:30
Forum: IFRS-related topics
Topic: question about Profit from continuing operation in relation to NCI
Replies: 5
Views: 1127

Re: question about Profit from continuing operation in relation to NCI

there's a fundamental principle that if you control an entity then it's results are consolidated in full, not just your share (then show the amount attributable to NCI later). ie show 100% of all subsidiaries' revenue and expenses in group P&L.
by JRSB
09 Mar 2023, 10:27
Forum: IFRS-related topics
Topic: ECL-Related Companies from Russia
Replies: 10
Views: 2030

Re: ECL-Related Companies from Russia

they built up troops at the border from Oct 21? but you've said they're performing even now (to some extent) so presumably a sensible ecl was in order at that year end. are your accounts not late...?
by JRSB
08 Mar 2023, 21:03
Forum: IFRS-related topics
Topic: ECL-Related Companies from Russia
Replies: 10
Views: 2030

Re: ECL-Related Companies from Russia

Can you even receive funds from Russia?
by JRSB
07 Mar 2023, 12:44
Forum: IFRS-related topics
Topic: IFRS 9 Application for Revenue Based Financing
Replies: 3
Views: 925

Re: IFRS 9 Application for Revenue Based Financing

You're the borrower rather than the lender right? So we're talking about a financial liability?
by JRSB
06 Mar 2023, 12:26
Forum: IFRS-related topics
Topic: Funding received for Acquisition of asset
Replies: 4
Views: 1014

Re: Funding received for Acquisition of asset

ok I assume it's a church or school etc. Seems to me no explicit standard so you'd define the accounting policy being applied, ias 20 as you suggest. interested what marek thinks though. ias 20 does define government as including 'similar organisations' .
by JRSB
06 Mar 2023, 11:05
Forum: IFRS-related topics
Topic: Funding received for Acquisition of asset
Replies: 4
Views: 1014

Re: Funding received for Acquisition of asset

Why are the charity 'interested' in giving you £20m? Do they get to occupy it rent free for 30 years when its finished etc?

Does the charity own the building when finished?
by JRSB
05 Mar 2023, 11:50
Forum: IFRS-related topics
Topic: Carrying Amount for Imparment
Replies: 5
Views: 1048

Re: Carrying Amount for Imparment

IAS 36 defines a CGU as a 'group of assets' , not a group of 'net assets'. Remember the point of a CGU is because you can't test cash flows from a particular asset on its own (eg goodwill, or a head office building etc), so fundamentally its just trying to add assets together. para 76 (B) - the carr...
by JRSB
05 Mar 2023, 11:42
Forum: IFRS-related topics
Topic: IFRS 3 - business combination
Replies: 6
Views: 1051

Re: IFRS 3 - business combination

I don't know if you're confusing standalone accounts and group accounts (since you mention 'assume no goodwill). Most likely, you just need to post Dr investment in subsidiary (an asset) and credit cash (asset). But since the topic of the thread is IFRS 3 you perhaps are stuck on group level entries...