More on terms of leases, if maybe not of endearment

As we’ve discussed on many past occasions, the IASB has issued IFRS 16 Leases, effective for annual reporting periods beginning on or after January 1, 2019. We looked here at some matters relating to determining the lease term. This is: the non-cancellable period of a lease, together with both: (a) periods covered by an option…

Definition of material – a standard under the influence

The IASB has issued Definition of Material, amendments to IAS 1 and IAS 8, effective from January 1, 2020 and to be applied prospectively, with early application permitted. The current definition in IAS 1 is as follows: “Omissions or misstatements of items are material if they could, individually or collectively, influence the economic decisions that…

IFRS – signs and wonders!

Here’s the abstract of an article available online, written by Shaul Hayoun of the University of Edinburgh: Purpose The purpose of this paper is to contribute to the discussion on the non-essence of accounting by focusing on financial accounting’s distinct technology: financial statements. Complementing the genealogical perspective on accounting’s changing socio-historical settings, it proposes a…

Liquored up, or: our comparability is impaired!

Here’s an issue that doesn’t come up too often, as reported on the Canadian Broadcasting Corporation’s website: A claim by New Brunswick’s Liquor Corporation that its profits last year “remained steady” was true only because of seven extra days it included in its financial year, an issue that needs to be explained in detail, accounting…