Jhanzayb

Regular Way Transaction can be DEFINED as a purchase or sale of a Financial Asset under a contract whose terms REQUIRE delivery of the asset within the time frame established generally by regulation or convention in the marketplace concerned. For example, ‘Trades’ on the Pakistan Stock Exchange (PSX) are typically … Read More

Financial Instruments Definition as per IFRS 9 STATES it could be Financial Asset, Financial Liability or an Equity Instrument of another entity. The objective of IFRS 9 is to ESTABLISH principles for the financial reporting of financial assets and liabilities that will present relevant and valuable information to users of … Read More

IFRS 16 Sub-Lease DEPICTS that such transaction is accounted for by the sub-lessor in the same way as other leases. Under IFRS 16 the head lease and sublease are SEPARATE contracts that are accounted for under the lessee and lessor models. The sub-lease is classified by reference to the Right … Read More

IFRS 16 Sale and Leaseback EXPLAINS that such transaction is accounted for as a sale of an underlying asset and a leaseback of that underlying asset only if the initial transaction QUALIFIES as a sale in accordance with IFRS 15, Revenue from Contracts with Customers. In a sale and leaseback transaction, an … Read More

IFRS 16 Lessor Accounting DESCRIBES that lessors account for finance leases by initially de-recognizing the asset and recognizing a receivable for the net investment in the lease. Initial direct costs (other than those incurred by a manufacturer or dealer lessor) are INCLUDED in the ‘Net Investment in the Lease’. IFRS 16 … Read More

IFRS 16 Lessee Accounting DEPICTS the way by which a company records the financial impacts of its leasing activities. Leases that meet SPECIFIC classification requirements must be recorded on a company’s Financial Statements. IFRS 16 Lessee Accounting – Objective The objective of IFRS 16 is to report information that (a) … Read More

IFRS 15 Summary BRIEFLY describes “Revenue from Contracts with Customers”, which is an International Financial Reporting Standard issued by the International Accounting Standards Board (IASB). It is EFFECTIVE for annual periods beginning on or after January 1, 2018. IFRS 15 Summary – Scope [Replaced IAS 18] IFRS 15 INCLUDES several … Read More

IFRS 15 Five Step Model ESTABLISHES the criteria on the basis of which ‘Revenue from Contracts with Customers‘ is recognized, effective from 1st January 2018 and replaced IAS 18, IAS 11, SIC 31, IFRIC 13, IFRIC 15, and IFRIC 18. International Financial Reporting Standards (IFRS) has PROVIDED IFRS 15 5 … Read More