Accounting standard study group
|
|
- Reynold Doyle
- 7 years ago
- Views:
Transcription
1 Accounting standard study group CIMA Sri Lanka division Study of SLAS 40: Investment property Objective Prescribe the accounting treatment for investment property and related disclosure requirements. Scope Recognition of investment property Measurement of investment property Disclosure of investment property Key definitions Investment property: Land or building that is held (by the owner or by the lessee under a finance lease) with the intention of earning a rent or a generating capital gain. Therefore, a distinguishing feature is that it generates cash flows that are largely independent of other assets. Examples of property that do not qualify as investment property: Owner occupied property. Property held for sale in the ordinary course of business or in the process of construction or development for such sale. Property being constructed or developed on behalf of a third party. Property that is being constructed or developed for future use as investment property. Owner occupied property: Property that is held for use in the production or supply of goods or services, or for administrative purposes. Finance lease: A lease that transfers almost all the risks and rewards related to ownership of the asset to lessee, where the ownership of the asset may or may not be transferred at the end of the lease period. 1
2 Fair value: The amount for which an asset could be exchanged between knowledgeable, willing parties in an arm s length transaction. Cost: The amount of cash or cash equivalent paid or the fair value of other considerations given to acquire an asset at the time of its acquisition or construction. Carrying amount: Amount at which an asset is recognised in the balance sheet. Recognising an asset as investment property Investment property should be recognised as an asset only when the following criteria are met; It is probable that the future economic benefits that are associated with the investment property will flow to the enterprise, and The cost of the investment property can be measured reliably. Measuring the value of investment property Initial measurement Investment property is first measured at cost. The cost of a purchased investment property includes the purchase price, and any directly attributable expenditure such as legal fees, property transfer tax etc. The cost of a selfconstructed investment property is its cost at the date when the construction or development is completed. Subsequent expenditure Subsequent expenditure relating to an investment property that has already been recognised should be added to the carrying amount of the investment property when it is probable that future economic benefits, in excess of the originally assessed standard of performance of the existing investment property, will flow to the enterprise. Any other subsequent expenditure should be recognised as an expense in the profit and loss account in the period in which it is incurred. The cost of an investment property does not increase due to start-up costs unless it is essential for the property to be brought in to working condition. Losses incurred as a result of the property been unoccupied, abnormal amounts of wasted material, labour or other resources will not increase/decrease the value of investment property. When a company acquires a building which requires renovation for the asset to start generating financial returns, the renovation costs are included in the carrying value in the financial statements. For example if a company spends additional costs after the initial recognition - to air condition an apartment complex, and it is likely that the company could increase the monthly rental of each apartment where the actual rental income would be higher as opposed to the previously predicted rental income, then the company can recognise the cost of air conditioning as part of subsequent expenditure on investment property. Measurement subsequent to initial recognition After initial recognition, an enterprise should choose either the fair value model or the cost model as its accounting policy and should apply that policy to all of its investment property. 2
3 Cost model This method requires measurement of all of its investment property using the benchmark treatment in SLAS 18, Property, Plant and Equipment. Carrying amount = Cost (Accumulated depreciation + Accumulated impairment losses) Fair value model Gains or losses arising from a change in fair value of investment property should be recognised in the profit and loss statements of the relevant period. Fair Value of investment property would usually be the market value of the property. It should reflect the actual market conditions and the circumstances as at the balance sheet date and should not reflect anything of the past nor the future. Disclosures to be made in financial statements Cost and fair value model SLAS 40 amendments to the standard in 2003 requires all organisations to determine the fair value of investment property, annual fair value can be carried out by the Board of Director s of the organisation while the standard requires qualified, experienced and independent valuer to carry out a valuation on the property once in every three years. The criteria developed by the enterprise to distinguish investment property from owner-occupied property and from property held for sale in the ordinary course of business; The methods and significant assumptions applied in determining the fair value of investment property, including a statement whether the determination of fair value was supported by market evidence or was more heavily based on other factors. The extent to which the fair value of investment property is based on a valuation by an independent valuer, and if there has been no such valuation, that fact should be disclosed. The amounts included in the income statement for rental income from investment property; direct operating expenses arising from investment property that generated rental income during the period and investment property that did not generate rental income during the period. The existence and amounts of restrictions on the realisability of investment property or the remittance of income and proceeds of disposal. Material contractual obligations to purchase, construct or develop investment property or for repairs, maintenance or enhancements. 3
4 Fair value model In addition to the disclosure required by either cost of fair value model, an enterprise that applies the fair value model should also disclose a reconciliation of the carrying amount of investment property at the beginning and end of the period showing the following: Additions, disclosing separately those additions resulting from acquisitions and those resulting from capitalised subsequent expenditure. Additions resulting from acquisitions through business combinations. Disposals. Net gains or losses from fair value adjustments. The net exchange differences arising on the translation of the financial statements of a foreign entity Transfers to and from inventories and owner-occupied property. Other movements. Cost model In addition to the disclosure required by either cost or fair value model, an enterprise that applies the cost model should also disclose the following; The depreciation methods used. The useful lives or the depreciation rates used. The gross carrying amount and the accumulated depreciation (aggregated with accumulated impairment losses) at the beginning and end of the period. A reconciliation of the carrying amount of investment property at the beginning and end of the period showing the following; Additions, disclosing separately those additions resulting from acquisitions and those resulting from capitalised subsequent expenditure. Additions resulting from acquisitions through business combinations. Disposals. Depreciation. The amount of impairment losses recognised, and the amount of impairment losses reversed, during the period. The net exchange differences arising on the translation of the financial statements of a foreign entity. Transfers to and from inventories and owner occupied property. Other movements. Example of application Athena PLC incurred Rs. 50 million in purchasing a prime land in the city. A further Rs. 100 million was incurred to construct an apartment complex consisting of 40 luxury apartments each identified to have cost equally. 4
5 Followings costs were incurred thereafter: Elevator system to the apartment: Rs.1 million Legal fees on leased agreements with the occupants: Rs.100,000 Property transfer taxes: Rs.100,000 Interest on delayed payment of Rs.10 million to a supplier: Rs. 30,000 Loss incurred on the purchase of faulty aluminium railings: Rs. 50,000 Two out of 40 apartments in the complex are reserved to be allocated as the marketing and finance divisions of Athena PLC. Out of the remainder, five apartments are yet unoccupied which results in a loss of Rs. 100,000 per month, per apartment. Should this property be classified as investment property? If yes, calculate the value of the investment property that should be discloses in the financial statements of Athena PLC. Narration of cost Values to include Values to exclude Reason for exclusion Land 47,500,000 2,500,000 Occupied by Athena PLC Construction 95,000,000 5,000,000 Occupied by Athena PLC Elevator 1,000,000 Legal fees on lease 100,000*33 Subsequent operational costs agreement Property transfer tax 100,000 Start-up cost incurred to bring the building to working condition Interest on delayed payment 30,000 Abnormal loss Loss on purchase of faulty aluminium railings Loss on unoccupied apartments 50,000 Abnormal loss 100,000*5 Losses incurred due to nonoccupancy/abnormal loss Key points to note Exemptions SLAS 40 does not apply to the following; Natural resources that s regenerative (e.g. forests) Non-regenerative resources (E.g. mineral rights, the exploration for and extraction of minerals, oil, natural gas). Property or rights held by a company to carry out extractions wouldn t allow a company to recognise such property as investment property in their financial statements though it fulfils the investment property definition criteria. From a business perspective the criteria listed under SLAS 40 can be used to determine the value when carrying out discounted cash flow projections during acquisition of investment property. 5
6 The fair value only reflects the knowledge and estimates of participants in the market and the factors that are relevant to the market participants in general. The value of investment property would differ among different participants in the market, and market factors like industry performance, competition, etc. would increase or decrease the valuation of investment property to different entities. However, fair value does not reflect any of the portfolio combinations, synergies or values that are attributable to a specific organisation. When determining the fair value of investment property, organisations need to avoid double counting of assets. For example cost of elevators, air conditioners that are required for the smooth functioning of the investment property should not be double counted and disclosed as Property, Plant and Equipment under SLAS 18. Loop holes Investigations of managerial discretion over fair value reporting reveal that managers select permissible accounting methods to report higher earnings. Disclaimer This document is compiled with the objective of presenting a basic overview of the respective Sri Lanka Accounting Standard, and does not construe professional advise in application of the Standard. For specific application and understanding of all facets of the Standard, the relevant Sri Lanka Accounting Standard issued by The Institute of Chartered Accountants of Sri Lanka should be referred. Useful web-links pertaining to Accounting Standards Compiled by the members of the Accounting Standard Study Group Manil Jayasinghe (Chairman) Achintha Gamage Chamil Hathurusinghe Jayani Amarasinghe Kanagasabapathy Arulmoly Methmal Seneviratne Nilushika Gunasekera Compiled on 31 July
International accounting. Introduction to IAS/IFRS a.a. 2015/2016. Overview of session. 1. Objective. 2. Definitions. 3. Recognition. 4.
UNIVERSITÀ DEGLI STUDI DI BERGAMO International accounting 910005 IAS 40 Investment Property Prof. Gervasio Daniele Introduction to IAS/IFRS a.a. 2015/2016 Overview of session 1. Objective 2. Definitions
More informationSri Lanka Accounting Standard -LKAS 40. Investment Property
Sri Lanka Accounting Standard -LKAS 40 Investment Property -1088- 85-1089- 4 This Standard does not apply to: biological assets related to agricultural activity (seelkas 41 Agriculture); and mineral rights
More informationInvestment Property. Indian Accounting Standard (Ind AS) 40. Investment Property
Investment Property Indian Accounting Standard (Ind AS) 40 Investment Property Contents Paragraphs OBJECTIVE 1 SCOPE 2 4 DEFINITIONS 5 15 RECOGNITION 16 19 MEASUREMENT AT RECOGNITION 20-29 MEASUREMENT
More informationIndian Accounting Standard (Ind AS) 40 Investment Property
Indian Accounting Standard (Ind AS) 40 Investment Property Contents Paragraphs OBJECTIVE 1 SCOPE 2 4 DEFINITIONS 5 15 RECOGNITION 16 19 MEASUREMENT AT RECOGNITION 20-29 MEASUREMENT AFTER RECOGNITION 30-56
More informationInternational Accounting Standard 40 Investment Property
International Accounting Standard 40 Investment Property Objective 1 The objective of this Standard is to prescribe the accounting treatment for investment property and related disclosure requirements.
More informationIAS 40 - Investment Property
IAS 40 - Investment Property 1 Definition of investment property Investment property is property (land or a building or part of a building or both) held (by the owner or by the lessee under a finance lease)
More informationPOLICY ASSET MANAGEMENT - INVESTMENT PROPERTY FINANCE
Document #:5968866 POLICY CP ID: OS Date adopted: 18/09/2012 File no: 416945-1 Minute number: 274/2012 Policy title: Stream: Branch: ASSET MANAGEMENT - INVESTMENT PROPERTY ORGANISATIONAL SERVICES FINANCE
More informationIPSAS 16 INVESTMENT PROPERTY
IPSAS 16 INVESTMENT PROPERTY Acknowledgment This International Public Sector Accounting Standard is drawn primarily from International Accounting Standard (IAS) 40 (2000), Investment Property published
More informationHow To Account For Property, Plant And Equipment
International Accounting Standard 16 Property, Plant and Equipment Objective 1 The objective of this Standard is to prescribe the accounting treatment for property, plant and equipment so that users of
More informationSri Lanka Accounting Standard LKAS 16. Property, Plant and Equipment
Sri Lanka Accounting Standard LKAS 16 Property, Plant and Equipment CONTENTS paragraphs SRI LANKA ACCOUNTING STANDARD LKAS 16 PROPERTY, PLANT AND EQUIPMENT OBJECTIVE 1 SCOPE 2 DEFINITIONS 6 RECOGNITION
More informationProperty, Plant and Equipment
STATUTORY BOARD FINANCIAL REPORTING STANDARD SB-FRS 16 Property, Plant and Equipment SB-FRS 16 Property, Plant and Equipment applies to Statutory Boards for annual periods beginning on or after 1 January
More informationFixed Assets. Name: SudhirJain M. No.: 213157
Fixed Assets Name: SudhirJain M. No.: 213157 Agenda AS- 10 Accounting for Fixed Assets Introduction & Scope Definitions and other relevant provisions Relevant provisions of other Accounting Standards applicable
More informationSLFRS Baseline 2011 Investment Property. LKAS 40 - Investment Property. Harsha Rajan Director, KPMG. 24 th July 2012
1 LKAS 40 - Investment Property Harsha Rajan Director, KPMG 24 th July 2012 1 Agenda Definition and scope Accounting for investment property Disclosure The closing SLFRS Baseline 2011 3 Definition Property
More informationAccounting for Fixed Assets
96 Accounting Standard (AS) 10 Accounting for Fixed Assets Contents INTRODUCTION Paragraphs 1-6 Definitions 6 EXPLANATION 7-17 Identification of Fixed Assets 8 Components of Cost 9 Self-constructed Fixed
More informationAS 10 : Accounting for Fixed Assets
AS 10 : Accounting for Fixed Assets IPCC Paper 1: Accounting Chapter 1 Unit 2 Fixed Assets - AS 10 Related ASI is 2 CA. Yagnesh Desai 1 Applicability This standards was introduced in 1985 It is applicable
More informationSri Lanka Accounting Standard for Smaller Enterprises
Sri Lanka Accounting Standard for Smaller Enterprises The Sri Lanka Accounting Standards for Smaller Enterprises (SLASSE) was published in Year 2003. This needs to be revised to be in line with the revisions
More informationThe Application of International Accounting Standards in the Financial Statements of Tearfund Partners
The Application of International Accounting Standards in the Financial Statements of Tearfund Partners Context: International Accounting Standards (IAS) have been developed primarily to bring consistency
More informationProperty, Plant and Equipment
Indian Accounting Standard (Ind AS) 16 Property, Plant and Equipment Property, Plant and Equipment Contents Paragraphs OBJECTIVE 1 SCOPE 2-5 DEFINITIONS 6 RECOGNITION 7 14 Initial costs 11 Subsequent costs
More informationProperty, Plant and Equipment
International Accounting Standard 16 Property, Plant and Equipment This version includes amendments resulting from IFRSs issued up to 31 December 2008. IAS 16 Property, Plant and Equipment was issued by
More informationIAS 16 Property, Plant and Equipment Prepared by: Paddingtonbear aka John Kevin Andrews For: Open Tuition Study Session February 2010
IAS 16 Property, Plant and Equipment Prepared by: Paddingtonbear aka John Kevin Andrews For: Open Tuition Study Session February 2010 IT IS ESSENTIAL TO READ THESE ARTICLES!! FR F7 This is the official
More informationFUNDAMENTALS OF IFRS
INVESTMENT PROPERTY (IAS 40) FUNDAMENTALS OF IFRS 20.1 FUNDAMENTALS OF IFRS CHAPTER 20 Investment Property (IAS 40) 20.2 CHAPTER TWENTY INVESTMENT PROPERTY (IAS 40) 20 Introduction Investment Property
More informationAASB Standard AASB 140. August 2015. Investment Property. Federal Register of Legislative Instruments F2015L01611
AASB Standard AASB 140 August 2015 Investment Property Obtaining a copy of this Accounting Standard This Standard is available on the AASB website: www.aasb.gov.au. Australian Accounting Standards Board
More informationINDONESIAN INSTITUTE OF ACCOUNTANTS FIXED ASSETS AND OTHER ASSETS
STATEMENT OF SFAS No. FINANCIAL ACCOUNTING STANDARD 16 INDONESIAN INSTITUTE OF ACCOUNTANTS FIXED ASSETS AND OTHER ASSETS Statement of Financial Accounting Standard (SFAS) No.16, Fixed Assets and Other
More information4.1 PROPERTY, PLANT AND EQUIPMENT
4.1 PROPERTY, PLANT AND EQUIPMENT 4.1.1 Introduction 4.1.1.1 Authorities shall account for tangible fixed assets in accordance with IAS 16 Property, Plant and Equipment, except where interpretations or
More informationHKAS 40 Revised July 2012June 2014. Hong Kong Accounting Standard 40. Investment Property
HKAS 40 Revised July 2012June 2014 Hong Kong Accounting Standard 40 Investment Property HKAS 40 COPYRIGHT Copyright 2014 Hong Kong Institute of Certified Public Accountants This Hong Kong Financial Reporting
More informationSri Lanka Accounting Standard LKAS 17. Leases
Sri Lanka Accounting Standard LKAS 17 Leases CONTENTS SRI LANKA ACCOUNTING STANDARD LKAS 17 LEASES paragraphs OBJECTIVE 1 SCOPE 2 3 DEFINITIONS 4 6 CLASSIFICATION OF LEASES 7 19 LEASES IN THE FINANCIAL
More informationIAS 16 Property Plant and Equipment Prepared by: Salman Saeed Opentuition Study Sessions for December 2010
IAS 16 Property Plant and Equipment Prepared by: Salman Saeed Opentuition Study Sessions for December 2010 Syllabys Guide a) Define and compute the initial measurement of a non-current (including a self-constructed)
More informationMPSAS 16 Investment Property
MPSAS ED 1/2012 16 GOVERNMENT OF MALAYSIA MPSAS 16 Investment Property August 2013 April 2012 MPSAS 16 INVESTMENT PROPERTY Acknowledgment The Malaysian Public Sector Accounting Standard (MPSAS) is based
More informationProperty, Plant and Equipment
HKAS 16 Revised JuneAugust 2014 Hong Kong Accounting Standard 16 Property, Plant and Equipment HKAS 16 COPYRIGHT Copyright 2014 Hong Kong Institute of Certified Public Accountants This Hong Kong Financial
More informationChapter Twenty Investment property. Author: Shlomi Shuv
Chapter Twenty Investment property January 2013 Contents General... 3 Scope... 4 Definition of Investment Property... 5 Recognition and Initial Measurement... 8 Measurement after Initial Recognition...
More informationAccounting and Reporting Policy FRS 102. Staff Education Note 4 Investment properties
Accounting and Reporting Policy FRS 102 Staff Education Note 4 Investment properties Disclaimer This Education Note has been prepared by FRC staff for the convenience of users of FRS 102 The Financial
More informationProperty, Plant and Equipment
Compiled AASB Standard AASB 116 Property, Plant and Equipment This compiled Standard applies to annual reporting periods beginning on or after 1 July 2009. Early application is permitted. It incorporates
More informationAASB 116 Property, Plant and Equipment and IFRS for SMEs Section 17 Property, Plant and Equipment
AASB 116 and IFRS for SMEs Section 17 1. Executive Summary Main differences in recognition, measurement or presentation requirements Measurement after initial recognition Whilst AASB 116 permits the cost
More informationStatement of Cash Flows
STATUTORY BOARD FINANCIAL REPORTING STANDARD SB-FRS 7 Statement of Cash Flows This version of SB-FRS 7 does not include amendments that are effective for annual periods beginning after 1 January 2014.
More informationPrincipal Accounting Policies
1. Basis of Preparation The accounts have been prepared in accordance with Hong Kong Financial Reporting Standards ( HKFRS ). The accounts have been prepared under the historical cost convention as modified
More informationINTERNATIONAL ACCOUNTING STANDARDS. CIE Guidance for teachers of. 7110 Principles of Accounts and. 0452 Accounting
www.xtremepapers.com INTERNATIONAL ACCOUNTING STANDARDS CIE Guidance for teachers of 7110 Principles of Accounts and 0452 Accounting 1 CONTENTS Introduction...3 Use of this document... 3 Users of financial
More informationInternational Accounting Standard 7 Statement of cash flows *
International Accounting Standard 7 Statement of cash flows * Objective Information about the cash flows of an entity is useful in providing users of financial statements with a basis to assess the ability
More informationUNCONTROLLED IF PRINTED ACCOUNTING POLICY
UNCONTROLLED IF PRINTED NAVY CANTEENS ACCOUNTING POLICY Applicability: This procedure is applicable to all RANCCB directors and Navy Canteens, managers and staff in all Navy Canteens business units. Legislation:
More informationAccounting and reporting by charities EXPOSURE DRAFT
10. Balance sheet Introduction 10.1. All charities preparing accruals accounts must prepare a balance sheet at the end of each reporting period which gives a true and fair view of their financial position.
More informationSri Lanka Accounting Standard-LKAS 7. Statement of Cash Flows
Sri Lanka Accounting Standard-LKAS 7 Statement of Cash Flows CONTENTS SRI LANKA ACCOUNTING STANDARD-LKAS 7 STATEMENT OF CASH FLOWS paragraphs OBJECTIVE SCOPE 1 3 BENEFITS OF CASH FLOW INFORMATION 4 5 DEFINITIONS
More informationACCOUNTING POLICY 1.1 FINANCIAL REPORTING. Policy Statement. Definitions. Area covered. This Policy is University-wide.
POLICY Area covered ACCOUNTING POLICY This Policy is University-wide Approval date 5 May 2016 Policy Statement Intent Scope Effective date 5 May 2016 Next review date 5 May 2019 To establish decisions,
More informationInternational Accounting Standard 16 (IAS 16), Property, Plant and Equipment
International Accounting Standard 16 (IAS 16), Property, Plant and Equipment By BRIAN FRIEDRICH, MEd, CGA, FCCA(UK), CertIFR and LAURA FRIEDRICH, MSc, CGA, FCCA(UK), CertIFR Updated By STEPHEN SPECTOR,
More informationACCOUNTING FOR LEASES AND HIRE PURCHASE CONTRACTS
Issued 07/85 Revised 06/90 New Zealand Society of Accountants STATEMENT OF STANDARD ACCOUNTING PRACTICE NO. 18 Revised 1990 ACCOUNTING FOR LEASES AND HIRE PURCHASE CONTRACTS Issued by the Council, New
More informationIndian Accounting Standard (Ind AS) 7 Statement of Cash Flows
Contents Indian Accounting Standard (Ind AS) 7 Statement of Cash Flows Paragraphs OBJECTIVE SCOPE 1 3 BENEFITS OF CASH FLOW INFORMATION 4 5 DEFINITIONS 6 9 Cash and cash equivalents 7 9 PRESENTATION OF
More informationThe consolidated financial statements of
Our 2014 financial statements The consolidated financial statements of plc and its subsidiaries (the Group) for the year ended 31 December 2014 have been prepared in accordance with International Financial
More informationStatement of Cash Flows
HKAS 7 Revised February November 2014 Hong Kong Accounting Standard 7 Statement of Cash Flows HKAS 7 COPYRIGHT Copyright 2014 Hong Kong Institute of Certified Public Accountants This Hong Kong Financial
More informationIPSAS 16 INVESTMENT PROPERTY
INVESTMENT PROPERTY Acknowledgment This International Public Sector Accounting Standard is drawn primarily from International Accounting Standard (IAS) 40 (Revised 2003), Investment Property published
More informationPOLICY MANUAL. Financial Management Significant Accounting Policies (July 2015)
POLICY 1. Objective To adopt Full Accrual Accounting and all other applicable Accounting Standards. 2. Local Government Reference Local Government Act 1995 Local Government (Financial Management) Regulations
More informationCIMA Managerial Level Paper F2 FINANCIAL MANAGEMENT (REVISION SUMMARIES)
CIMA Managerial Level Paper F2 FINANCIAL MANAGEMENT (REVISION SUMMARIES) Chapter Title Page number 1 The regulatory framework 3 2 What is a group 9 3 Group accounts the statement of financial position
More informationAccounting and Reporting Policy FRS 102. Staff Education Note 1 Cash flow statements
Staff Education Note 1: Cash flow Statements Accounting and Reporting Policy FRS 102 Staff Education Note 1 Cash flow statements Disclaimer This Education Note has been prepared by FRC staff for the convenience
More informationIPSAS 16 INVESTMENT PROPERTY
IPSAS 16 INVESTMENT PROPERTY Acknowledgment This International Public Sector Accounting Standard (IPSAS) is drawn primarily from International Accounting Standard (IAS) 40 (Revised 2003), Investment Property,
More informationSri Lanka Accounting Standard LKAS 28. Investments in Associates
Sri Lanka Accounting Standard LKAS 28 Investments in Associates CONTENTS SRI LANKA ACCOUNTING STANDARD LKAS 28 INVESTMENTS IN ASSOCIATES paragraphs SCOPE 1 DEFINITIONS 2 12 Significant influence 6 10 Equity
More informationRELIANCE INDUSTRIES (MIDDLE EAST) DMCC 1. Reliance Industries (Middle East) DMCC Reports and Financial Statements for the year ended 31 December 2014
RELIANCE INDUSTRIES (MIDDLE EAST) DMCC 1 Reliance Industries (Middle East) DMCC Reports and Financial Statements for the year ended 31 December 2014 2 RELIANCE INDUSTRIES (MIDDLE EAST) DMCC Independent
More informationNEPAL ACCOUNTING STANDARDS ON BUSINESS COMBINATIONS
NAS 21 NEPAL ACCOUNTING STANDARDS ON BUSINESS COMBINATIONS CONTENTS Paragraphs OBJECTIVE 1 SCOPE 2-14 Identifying a business combination 5-10 Business combinations involving entities under common control
More informationEXPLANATORY NOTES. 1. Summary of accounting policies
1. Summary of accounting policies Reporting Entity Taranaki Regional Council is a regional local authority governed by the Local Government Act 2002. The Taranaki Regional Council group (TRC) consists
More informationInternational Accounting Standard 17 Leases
International Accounting Standard 17 Leases Objective 1 The objective of this Standard is to prescribe, for lessees and lessors, the appropriate accounting policies and disclosure to apply in relation
More informationSummary of Significant Accounting Policies FOR THE FINANCIAL YEAR ENDED 31 MARCH 2014
46 Unless otherwise stated, the following accounting policies have been applied consistently in dealing with items which are considered material in relation to the financial statements. The Company and
More informationSTATEMENT OF COMPLIANCE AND BASIS OF MEASUREMENT
Accounting policies REPORTING ENTITY The Waikato Regional Council is a territorial local authority governed by the Local Government Act 2002, and is domiciled in New Zealand. The main purpose of prospective
More informationArea Standard AIFRS impact Management action First time Adoption of Australian Equivalents to IFRS
First time Adoption of Australian Equivalents to IFRS AASB 1 An entity s first Australian-equivalents-to-IFRS (AIFRS) financial report applies for reporting periods beginning on or after 1 January 2005
More informationAcal plc. Accounting policies March 2006
Acal plc Accounting policies March 2006 Basis of preparation The consolidated financial statements of Acal plc and all its subsidiaries have been prepared in accordance with International Financial Reporting
More information2 This Standard shall be applied by all entities that are investors with joint control of, or significant influence over, an investee.
International Accounting Standard 28 Investments in Associates and Joint Ventures Objective 1 The objective of this Standard is to prescribe the accounting for investments in associates and to set out
More informationInternational Financial Reporting Standards (IFRS)
FACT SHEET September 2011 IAS 7 Statement of Cash Flows (This fact sheet is based on the standard as at 1 January 2010.) Important note: This fact sheet is based on the requirements of the International
More informationZAMIL INDUSTRIAL INVESTMENT COMPANY (SAUDI JOINT STOCK COMPANY)
ZAMIL INDUSTRIAL INVESTMENT COMPANY INTERIM CONSOLIDATED FINANCIAL STATEMENTS AND AUDITORS REPORT (LIMITED REVIEW) FOR THE THREE MONTHS AND NINE MONTHS PERIODS ENDED SEPTEMBER 30, NOTES TO THE INTERIM
More informationSIGNIFICANT GROUP ACCOUNTING POLICIES
SIGNIFICANT GROUP ACCOUNTING POLICIES Basis of consolidation Subsidiaries Subsidiaries are all entities over which the Group has the sole right to exercise control over the operations and govern the financial
More informationThe statements are presented in pounds sterling and have been prepared under IFRS using the historical cost convention.
Note 1 to the financial information Basis of accounting ITE Group Plc is a UK listed company and together with its subsidiary operations is hereafter referred to as the Company. The Company is required
More informationIn addition, Outokumpu has adopted the following amended standards as of January 1, 2009:
1. Corporate information Outokumpu Oyj is a Finnish public limited liability company organised under the laws of Finland and domiciled in Espoo. The parent company, Outokumpu Oyj, has been listed on the
More informationAbbey plc ( Abbey or the Company ) Interim Statement for the six months ended 31 October 2007
Abbey plc ( Abbey or the Company ) Interim Statement for the six months ended 31 October 2007 The Board of Abbey plc reports a profit before taxation of 18.20m which compares with a profit of 22.57m for
More informationACCOUNTING FOR AND AUDIT OF PROPERTY, PLANT AND EQUIPMENT
ACCOUNTING FOR AND AUDIT OF PROPERTY, PLANT AND EQUIPMENT PRESENTED BY SOLOMON SIMEON MANAGER: PEAK PROFESSIONAL SERVICES IN HOUSE SEMINAR SERIES NO 2 PEAK PROFESSIONAL SERVICES (CHARTERED ACCOUNTANTS)
More informationInvestments in Associates and Joint Ventures
STATUTORY BOARD FINANCIAL REPORTING STANDARD SB-FRS 28 Investments in Associates and Joint Ventures This standard applies for annual periods beginning on or after 1 January 2013. Earlier application is
More informationAccounting for Investments
133 Accounting Standard (AS) 13 Accounting for Investments Contents INTRODUCTION Paragraphs 1-3 Definitions 3 EXPLANATION 4-25 Forms of Investments 4-6 Classification of Investments 7-8 Cost of Investments
More informationGUIDELINES FOR INCOME TAX TREATMENT OF MALAYSIAN FINANCIAL REPORTING STANDARDS (MFRS) 140: INVESTMENT PROPERTY
LHDN.01/35/42/51/84 GUIDELINES FOR INCOME TAX TREATMENT OF MALAYSIAN FINANCIAL REPORTING STANDARDS (MFRS) 140: INVESTMENT PROPERTY 1. INTRODUCTION MFRS 140 requires all entities to determine the fair value
More informationNEPAL ACCOUNTING STANDARDS ON CASH FLOW STATEMENTS
NAS 03 NEPAL ACCOUNTING STANDARDS ON CASH FLOW STATEMENTS CONTENTS Paragraphs OBJECTIVE SCOPE 1-3 BENEFITS OF CASH FLOWS INFORMATION 4-5 DEFINITIONS 6-9 Cash and cash equivalents 7-9 PRESENTATION OF A
More informationEUROPEAN UNION ACCOUNTING RULE 6 INTANGIBLE ASSETS
EUROPEAN UNION ACCOUNTING RULE 6 INTANGIBLE ASSETS Page 2 of 17 I N D E X 1. Objective... 3 2. Scope... 3 3. Definitions... 3 4. Definition of intangible assets... 4 5. Recognition and Measurement... 5
More informationSummary of Certain Differences between SFRS and US GAAP
Summary of Certain Differences between and SUMMARY OF CERTAIN DIFFERENCES BETWEEN AND The combined financial statements and the pro forma consolidated financial information of our Group included in this
More informationIFRS IN PRACTICE. IAS 7 Statement of Cash Flows
IFRS IN PRACTICE IAS 7 Statement of Cash Flows 2 IFRS IN PRACTICE - IAS 7 STATEMENT OF CASH FLOWS TABLE OF CONTENTS 1. Introduction 3 2. Definition of cash and cash equivalents 4 2.1. Demand deposits 4
More informationaccounting for property, plant and equipment
01 technical accounting for property, plant and equipment RELEVANT TO ACCA QUALIFICATION PAPER F7 The accounting for IAS 16, Property, Plant and Equipment is a particularly important area of the Paper
More informationNote 2 SIGNIFICANT ACCOUNTING
Note 2 SIGNIFICANT ACCOUNTING POLICIES BASIS FOR THE PREPARATION OF THE FINANCIAL STATEMENTS The consolidated financial statements have been prepared in accordance with International Financial Reporting
More informationTransition to International Financial Reporting Standards
Transition to International Financial Reporting Standards Topps Tiles Plc In accordance with IFRS 1, First-time adoption of International Financial Reporting Standards ( IFRS ), Topps Tiles Plc, ( Topps
More informationAccounting Guideline GRAP 7. Investments in Associates
Accounting Guideline GAP 7 Investments in Associates GAP 7 Investments in Associates Contents 1. INTODUCTION... 3 2. SCOPE... 4 3. THE BIG PICTUE... 5 4. IDENTIFICATION... 6 4.1 Identifying an associate...
More informationPreliminary Final report
Appendix 4E Rule 4.3A Preliminary Final report AMCOR LIMITED ABN 62 000 017 372 1. Details of the reporting period and the previous corresponding period Reporting Period: Year Ended Previous Corresponding
More informationCLASSIFICATION OF LEASES
284 Accounting Standard (AS) 19 Leases Contents OBJECTIVE SCOPE Paragraphs 1-2 DEFINITIONS 3-4 CLASSIFICATION OF LEASES 5-10 LEASES IN THE FINANCIAL STATEMENTS OF LESSEES 11-25 Finance Leases 11-22 Operating
More informationZamil Industrial Investment Company (Saudi Joint Stock Company) and its Subsidiaries
Zamil Industrial Investment Company (Saudi Joint Stock Company) and its CONSOLIDATED INTERIM FINANCIAL STATEMENTS (UN-AUDITED) AND AUDITORS' LIMITED REVIEW REPORT 30 JUNE 2015 1 ACTIVITIES Zamil industrial
More informationAudited Financial Statements (IFRS) of SFC Smart Fuel Cell AG as of and for the Year Ended December 31, 2006
Audited Financial Statements (IFRS) of SFC Smart Fuel Cell AG as of and for the Year Ended December 31, 2006 F-13 SFC Smart Fuel Cell AG Brunnthal, Munich Financial statement In accordance with International
More informationTHE HONG KONG INSTITUTE OF CHARTERED SECRETARIES. Suggested Answers
THE HONG KONG INSTITUTE OF CHARTERED SECRETARIES Suggested Answers Level : Professional Subject : Hong Kong Financial Accounting Diet : December 2006 The suggested answers are published for the purpose
More informationVolex Group plc. Transition to International Financial Reporting Standards Supporting document for 2 October 2005 Interim Statement. 1.
Volex Group plc Transition to International Financial Reporting Standards Supporting document for 2 October 2005 Interim Statement 1. Introduction The consolidated financial statements of Volex Group plc
More informationNEPAL ACCOUNTING STANDARDS ON INVENTORIES CONTENTS Paragraphs
NAS 04 NEPAL ACCOUNTING STANDARDS ON INVENTORIES CONTENTS Paragraphs OBJECTIVE 1 SCOPE 2 5 DEFINITIONS 6 8 MEASUREMENT OF INVENTORIES 9-32 Cost of inventories 10-21 Costs of purchase 11 Costs of conversion
More informationInternational Accounting Standard 2 Inventories
International Accounting Standard 2 Inventories Objective 1 The objective of this Standard is to prescribe the accounting treatment for inventories. A primary issue in accounting for inventories is the
More informationInternational Accounting Standard 38 (IAS 38), Intangible Assets
International Accounting Standard 38 (IAS 38), Intangible Assets By BRIAN FRIEDRICH, MEd, CGA, FCCA(UK), CertIFR and LAURA FRIEDRICH, MSc, CGA, FCCA(UK), CertIFR Updated By STEPHEN SPECTOR, MA, FCGA This
More informationHow To Account For Revaluation In Australia
Australian Accounting Standard AAS 38 December 1999 Revaluation of Non-Current Assets Prepared by the Public Sector Accounting Standards Board of the Australian Accounting Research Foundation and by the
More informationACCOUNTING STANDARDS BOARD FEBRUARY 1999 FRS 15 FINANCIAL REPORTING STANDARD TANGIBLE ACCOUNTING STANDARDS BOARD
ACCOUNTING STANDARDS BOARD FEBRUARY 1999 FRS 15 15 TANGIBLE FINANCIAL REPORTING STANDARD FIXED ASSETS ACCOUNTING STANDARDS BOARD Financial Reporting Standard 15 Tangible Fixed Assets is issued by the Accounting
More informationEHDOC Robert Sharp Towers II Limited Partnership (A Florida Limited Partnership) Financial Report October 31, 2014
EHDOC Robert Sharp Towers II Limited Partnership Financial Report October 31, 2014 Contents Independent Auditor's Report 1 Financial Statements Balance sheet 2 3 Statement of income 4 Statement of changes
More informationTREASURER S DIRECTIONS ACCOUNTING LIABILITIES Section A3.6 : Leases
TREASURER S DIRECTIONS ACCOUNTING LIABILITIES Section A3.6 : Leases STATEMENT OF INTENT Assets required by Agencies to deliver outputs can be obtained by purchase or by lease. This Section provides the
More informationACCOUNTING FOR INVESTMENT PROPERTIES AND PROPERTIES INTENDED FOR SALE
Issued 02/89 New Zealand Society of Accountants STATEMENT OF STANDARD ACCOUNTING PRACTICE NO. 17 1989 ACCOUNTING FOR INVESTMENT PROPERTIES AND PROPERTIES INTENDED FOR SALE Issued by the Council, New Zealand
More informationAn approval was obtained from the Belgian Commission for Banking and Finance (CBF) concerning the following departures:
CHANGES IN ACCOUNTING POLICIES In the preparation of the accompanying consolidated financial statements as at 31 December, 2001 and 2000, several accounting policies have been applied that are different
More informationInvestments in Associates and Joint Ventures
International Accounting Standard 28 Investments in Associates and Joint Ventures In April 2001 the International Accounting Standards Board (IASB) adopted IAS 28 Accounting for Investments in Associates,
More informationFinancial Statements 2014
Financial Statements 2014 This financial statement is part of Heijmans annual report 2014. The complete English version of the annual report will be published a number of weeks after the publication of
More informationIncome statements. Earnings per share: Basic and diluted earnings per share 10 13.46 10.76 2012 $000 2012 $000 2013 $000 2013 $000.
46 Financial statements Income statements For the year ended 30 June Notes Income Airfield income 81,573 77,299 81,573 77,299 Passenger services charge 120,242 83,081 120,242 83,081 Terminal services charge
More informationG8 Education Limited ABN: 95 123 828 553. Accounting Policies
G8 Education Limited ABN: 95 123 828 553 Accounting Policies Table of Contents Note 1: Summary of significant accounting policies... 3 (a) Basis of preparation... 3 (b) Principles of consolidation... 3
More informationDRAFT INCOME COMPUTATION AND DISCLOSURE STANDARDS [ICDS]
DRAFT INCOME COMPUTATION AND DISCLOSURE STANDARDS [ICDS] Government of India Ministry of Finance Department of Revenue Central Board of Direct Taxes January 2015 Income Computation and Disclosure Standard
More informationLarge Company Limited. Report and Accounts. 31 December 2009
Registered number 123456 Large Company Limited Report and Accounts 31 December 2009 Report and accounts Contents Page Company information 1 Directors' report 2 Statement of directors' responsibilities
More information