ACCA

International Accounting Standard IAS 41, Agriculture, is the first standard that specifically covers the primary sector. IAS 41 introduces a fair value model to agriculture accounting. This is a major shift away from the traditional cost model widely applied in primary industry. IAS 41 impacts those agricultural activities where the income-producing biological assets are living animals or plants and will […]

IFRS 2, Share-based Payment, applies when a company acquires or receives goods and services for equity-based payment. These goods can include inventories, property, plant and equipment, intangible assets, and other non-financial assets. There are two notable exceptions: shares issued in a business combination, which are dealt with under IFRS 3, Business Combinations; and contracts for the purchase of goods that

The impact of International Financial Reporting Standards (IFRS® Standards) has been felt extensively in the exploration industry – particularly the oil and gas industry where key dilemmas and judgements made are greatest at the exploration and production stage. At one end, IFRS 6®, Exploration for and evaluation of mineral resources has introduced certain issues for the industry, and, at the other, IFRS

Following the revisions to IFRS 3, Business Combinations, in January 2008, there are now two ways of measuring the goodwill that arises on the acquisition of a subsidiary and each has a slightly different impairment process. This article discusses and shows both ways of measuring goodwill following the acquisition of a subsidiary, and how each measurement of goodwill is subject

A focus on the International Financial Reporting Standard for small to medium-sized entities. The principal aim when developing accounting standards for small to medium-sized enterprises (SMEs) is to provide a framework that generates relevant, reliable and useful information which should provide a high quality and understandable set of accounting standards suitable for SMEs. In July 2009, the International Accounting Standards

IFRS 3®, Business Combinations was issued in January 2008 as the second phase of a joint project with the Financial Accounting Standards Board (FASB), the US standards setter, and is designed to improve financial reporting and international convergence in this area. The standard has also led to minor changes in IAS 27®, Consolidated and Separate Financial Statements. The requirements of the

The classification of debt and equity in an entity’s statement of financial position is not always easy for preparers of financial statements. Many financial instruments have both features with the result that this can lead to inconsistency of reporting. IAS® 32 clarifies the definition of financial assets, financial liabilities and equity. In doing so, it helps to eliminate any uncertainties

Share-based payments are a complex topic. However, an in-depth understanding of the material in this article should help you to feel more comfortable when answering exam questions from this syllabus area. IFRS 2®, Share-based Payment, applies when a company acquires or receives goods and services in exchange for an equity-based payment. These goods can include inventories, property, plant and equipment, intangible

This two-part article considers the application of IFRS 15, Revenue from Contracts with Customers using the five-step model. On 28 May 2014, the International Accounting Standards Board (the Board), as a result of the joint project with the US Financial Accounting Standards Board (FASB), issued IFRS® 15, Revenue from Contracts with Customers. Application of the standard is mandatory for annual reporting periods