I was thinking for some time of writing an article about the new plague of earnings measures adjusted for the impact of covid-19… …but I was held back because in Canada I wasn’t able to find any, and still can’t. I may just not be that good at searching for things. Still, it seems there…
I came across an interesting article by Gediminas Ziemelis: New IFRS for airlines with provisions for virus impact? The article sets out the heavy impact of the ongoing pandemic on the airline industry, one in which – as has been quite widely commented upon – “some airlines announced dividends to shareholders from last year’s profit…
The IASB recently issued Annual Improvements to IFRS Standards 2018-2020. There are only four items (proving once again that it was almost perfect already). Here they are. Financial instruments IFRS 9 regards an exchange of debt instruments with substantially different terms between an existing borrower and a lender as an extinguishment of the original financial liability…
So this is what I wrote here just after Trump was elected: I confess I see no hint of a “bright side” to this abomination. Have deeply-rooted anxieties ever settled on such a wretchedly unsuitable means of deliverance? It provides harsh evidence that the world is succumbing to irrationality and recklessness, regardless that its complexities and challenges have never…
No, relax – I’m only joking. What actually happened is that the IASB recently issued Property, Plant and Equipment: Proceeds before Intended Use, a limited-scope amendment to IAS 16. It focuses on one of the examples provided in IAS 16.17 of “directly attributable costs” of an item of property, plant and equipment, which are included…
If anyone is having trouble locating guidance and commentary about the impact of covid-19 on financial reporting… …it’s only because they’re not looking hard enough. In Canada, to name a couple, there’s the regulatory covid-19 information hub, and CPA Canada’s website of covid-19 information resources, the latter of which leads to dozens of other links.…
The IASB has issued Covid-19-related rent concessions, amendments to IFRS 16, effective for annual reporting periods beginning on or after June 1, 2020, with earlier application permitted. This is how the accompanying news release summed it up: The amendment exempts lessees from having to consider individual lease contracts to determine whether rent concessions occurring as…
Well, no matter what’s going on, we’re not yet terminally condemned to heaviness, and so it’s time now for another selection of tweets (the most recent installment was here) which made mention of IFRS in one way or another, presented here in their original and unedited form, all typos and oddities and possible obscenities intact.…
I recently got round to reading E. F. Schumacher’s 1973 book Small is Beautiful: a Study of Economics as if People Mattered, inspired by a post on Maria Popova’s Brain Pickings blog. Popova says: “Sharing an ideological kinship with such influential minds as Tolstoy and Gandhi, Schumacher’s is a masterwork of intelligent counterculture, applying history’s…
As we addressed previously, the IASB has published “a Discussion Paper on possible improvements to the information companies report about acquisitions of businesses to help investors assess how successful those acquisitions have been.” We noted before that the IASB “has concluded that there is no alternative that can target goodwill better and at reasonable cost.” Let’s…
As we addressed here, the IASB issued the exposure draft Covid-19-related rent concessions, with a very short comment period which expired on May 8, 2020. As the IASB noted, the “objective of the amendment is to give timely relief to lessees when applying IFRS 16 to covid-19-related rent concessions while still enabling them to provide…
The IASB has issued Classification of Liabilities as Current or Non-current—Deferral of Effective Date, an exposure draft of a proposed change to IAS 1, with comments requested by June 3, 2020. To recap the underlying subject matter, IAS 1.69 currently sets out four different circumstances in which an entity classifies a liability as current. The…
The time to scrap IFRS accounting has arrived, announces the title of a recent article by Richard Murphy “This is not the moment to critique the multitudinous failings of IFRS accounting,” says Murphy. “It is instead the moment to note that they are the very opposite of the reasonably objective standards for reporting that any…
Someone went on Twitter and posed the plainly unbalanced question: “If Covid could end by sacrificing one IFRS standard, which would you pick and why IFRS-9?” Based on my unscientific review of the responses, IFRS 9 was indeed the favourite to be jettisoned, although IFRS 15 and 17 also got a good sprinkling of votes.…
We previously looked at how the ongoing COVID-19 crisis affects the application of some aspects of IFRS 9, Financial Instruments Here’s another issue. An entity removes a financial liability from its balance sheet when and only when the obligation is extinguished – that is, discharged or cancelled or expires. A substantial modification of the terms…
