IFRS 5 Non-Current Assets Held for Sale and Discontinued Operations questions update

If you’re studying IFRS 5 Non-Current Assets Held for Sale and Discontinued Operations, why not test your knowledge with our IFRS multiple choice question quiz? This is available by clicking here. By practicing questions you’ll improve your study and recall, ideal for people who learn best by ‘doing’ rather than just reading. We’ve just uploaded …

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Understanding the Purpose of Conceptual Framework for IFRS

What is the purpose of the Conceptual Framework?

If there were no framework for preparing financial statement, accounting standards would be developed in a random, haphazard way to deal with issues as they arise. This would result in standards which would be inconsistent with each other or legislation.

By having a single conceptual framework, preparers and users of financial statements understand that accounting practices and accounting standards are based on this common ideology.

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Journal Entries for Financial Assets and Financial Liabilities held at Fair Value Through Profit or Loss (FVTPL) under IFRS 9

IFRS 9 requires changes in fair value on financial liabilities designated as at FVTPL to be split into: the amount of change in fair value attributable to changes in credit risk of the liability, (presented in OCI) and the remaining amount (presented in P&L). The new guidance allows the recognition of the full amount of …

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Primary Users of Financial Statements & their Information Needs under IFRS

There are various different users of financial statements, each with different information needs. The older conceptual frameworks identified groups such as government and general public as primary users. However, the 2018 Conceptual Framework has cut this back to just three key groups. The Conceptual framework lists the primary users of financial statements as: Investors – …

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What you Need to Know About Inventories for IAS 2

Scope of IAS 2 Inventories IAS 2 applies to all inventories except: Financial instruments (IFRS 9/IAS 39) Biological assets (IAS 41) Does not apply to measurement of inventories held by: Producers of agricultural and forest products measured at NRV. Minerals and mineral products measured at NRV. Commodity brokers who measure inventory at fair value less …

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