Closing the gap, or: what did you expect?

CPA Canada’s Pivot magazine recently asked whether auditors can “close the great expectation gap for good.” The article takes the form of a moderated discussion between five experts.  As the lead-in puts it: “The expectation gap is a huge and thorny issue in the audit profession—so much so that even the definition is up for…

Adopting IFRS 15 and 16 at once – double trouble!

Kinaxis Inc. provides a recent example of a company simultaneously applying both IFRS 15 and (voluntarily in advance of the effective date) IFRS 16. The company “is a leading provider of cloud-based subscription software that enables its customers to improve and accelerate analysis and decision-making across their supply chain operations.” Here’s how it presented the…

Ongoing disclosures about business acquisitions, or: it’s all going even better than we hoped!

At a recent meeting, the IASB’s Capital Markets Advisory Committee discussed a few issues relating to goodwill and impairment. In the accompanying agenda paper, staff indicated that they’re considering recommending some additions to the existing disclosure requirements in IFRS 3, focused on assisting users to better understand “the strategic rationale for and the key objectives…

New leasing standard: it’s low value, so what else do you want?

Issues arising in applying the IFRS 16.5 concession that an issuer not apply its requirements to leases for which “the underlying asset is of low value…” We previously discussed this here, providing some of the IASB’s underlying thinking:  “…many lessees expressed concerns about the costs of applying the requirements of IFRS 16 to leases that are…

The conversion to IFRS 15 – what was it all for?

CPA Canada has issued Observations on the Implementation of the New Revenue Standard by Canadian Public Companies. The publication was based on the review of financial statements of 60 Canadian public companies for the first quarter of 2018; 45 listed on the TSX and 15 on the Venture Exchange. Here are the key observations: While…