• IAS 7—Statement of Cash Flows Indirect Method – What Is It?
    The Statement of Cash Flows Indirect Method PRESENTS the SOCF beginning with Net income or loss, with subsequent ADDITIONS to or DEDUCTIONS from that amount for Non-cash revenue and expense items, Resulting in cash flow from operating activities. International Accounting Standard (IAS 7) STATES that SOCF is a vital ‘Financial Statement‘ that PROVIDES insights into a … Read More
  • IFRS 9—Fair Value through Profit and Loss – Accounting Guide
    Fair Value through Profit and Loss a Concept that MEANS that at each ‘Balance Sheet date’ the asset or liability is Re-Measured to fair value (FV) and any Movement in that fair value is taken directly to the Income Statement. Table of ContentsFair Value through Profit and Loss – Accounting (As Per IFRS 9)1. Financial Asset1.1 … Read More
  • Variable Consideration IFRS 15 – Definition and Accounting
    Variable Consideration IFRS 15 REFERS to the portion of the ‘transaction price’ that depends on uncertain future events, i.e. Performance Obligations, Warranties, Discounts, and Other Incentives that May AFFECT the final payment received by the seller. IFRS 15 [Revenue from Contracts with Customers] ESTABLISHES the criteria of ‘Revenue Recognition‘, effective from 1st January 2018 and replaced … Read More
  • IFRS 7 — Financial Instruments – Disclosures
    The ‘OBJECTIVE’ of IFRS 7 is to Require entities to provide disclosures in their Financial Statements that enable users to evaluate:  Table of ContentsIFRS 7 Effective DateIFRS 7 – ScopeClasses of Financial Instruments and Level of DisclosureSignificance of Financial Instruments for Financial Position and PerformanceNature and Extent of Risks Arising from Financial InstrumentsTransfer of Financial … Read More
  • 4 Key Example(s) of Core Competencies for Competitive Advantage
    The Concept Example of Core Competencies STATES these are activities, processes and abilities that give the entity a capability of Meeting the Critical Success Factors (CSF’s) for products or services and achieving competitive advantage. Table of ContentsWhat are Competences? (Types)1. Threshold Competences2. Core Competences3. Sustainable Core CompetencesExample of Core Competencies – 4 Key Elements What … Read More
  • IFRS 8 — Operating Segments
    The ‘CORE PRINCIPLE’ of IFRS 8 is that an entity shall Disclose information to enable users of its financial statements to evaluate the nature and financial effects of the business activities in which it engages and the economic environment(s) in which it operates. Table of ContentsIFRS 8 Effective DateIFRS 8 – ScopeOperating SegmentsReportable Segments1. Aggregation … Read More
  • IFRS 6 — Exploration for and Evaluation of Mineral Resources
    The ‘OBJECTIVE’ of IFRS 6 is to Specify the financial reporting for the Exploration for and Evaluation of Mineral Resources. In particular, the IFRS requires: Table of ContentsIFRS 6 Effective DateIFRS 6 – ScopeRecognition of Exploration and Evaluation AssetsMeasurement of Exploration and Evaluation Assets1. Measurement at Recognition2. Elements of Cost of Exploration and Evaluation Assets3. … Read More
  • IFRS 5 — Non-Current Assets Held for Sale and Discontinued Operations
    The ‘OBJECTIVE’ of IFRS 5 is to specify the ‘accounting‘ for Assets Held for Sale and the ‘presentation and disclosure‘ of Discontinued Operations. In particular, the IFRS requires: Table of ContentsIFRS 5 Effective DateIFRS 5 – ScopeIFRS 5 – Key Terms1. Disposal Group2. Abandoned AssetClassification of Non-Current Assets (or Disposal Group) Held for Sale1. Measurement1.1 … Read More
  • IFRS 3 — Business Combinations
    The ‘OBJECTIVE’ of IFRS 3 is to Improve the relevance, reliability and comparability of the information that a reporting entity provides in its ‘Financial Statements’ about a business combination and its effects. To accomplish that, this IFRS establishes principles and requirements for how the acquirer: Table of ContentsIFRS 3 Effective DateIFRS 3 – ScopeIdentifying a … Read More
  • IFRS 2 — Share-based Payment
    The ‘OBJECTIVE’ of IFRS 2 is to Specify the ‘financial reporting’ by an entity when it undertakes a share‑based payment transaction. In particular, it requires an entity to reflect in its profit or loss and financial position the effects of share‑based payment transactions, INCLUDING expenses associated with transactions in which ‘share options‘ are granted to employee(s). Table of … Read More