The IASB has issued Risk Mitigation Accounting, an exposure draft of proposed amendments to IFRS 9 and IFRS 7, open for comment until July 31, 2026. As IASB Chair Andreas Barckow puts it in the news release, the proposed (voluntary) model “aims to bring accounting and risk management closer together to enhance internal efficiency and…

In October last year, we looked at an ongoing legal case involving Lundin Mining Corporation. The case dealt with Lundin’s detection of “pit wall instability, arising from an unstable wedge, in a localized area of its open pit operations,” and a subsequent rock slide, within a few days of each other in October 2017; the…

As an important public service, carried out here without regard for my personal safety, we present another selection of correspondence to and from the office of IASB Chair Andreas Barckow, courtesy of my mole at the IFRS Foundation, another brave fighter for transparency. Please destroy after reading: Dear Mr. Barckow – just writing in interest…

A couple of years ago, inspired by a reported rumour about the origins of IAS 1 – one commentator called it “one of many ill-informed myths which ignores the realities of the world and, in particular, standard setting”- I had some fun making up my own IFRS-related rumours, in the hope that some of them…

It’s time now for yet another selection of tweets/postings on the increasingly toxic X which made reference to IFRS (or IFRs) in one form or another, presented here in their original form, all typos and obscenities and outright oddities intact (the last batch was here). Let’s start with yet another example of IFRS (or IFRs)…

Armand Capisciolto, Chair of Canada’s Accounting Standards Board, recently returned to the topic of politics in standard-setting… Here are some extracts: In recent years, I have heard some say, that accountants will save the world, while others have complained that standards setters are politically motivated to influence behaviour.  I believe both views miss the mark. …

In 880 previous posts on this blog, I’ve never once mentioned IAS 29 Financial Reporting in Hyperinflationary Economies… Let’s remedy that today! IAS 29 is built on the premise that “In a hyperinflationary economy, reporting of operating results and financial position in the local currency without restatement is not useful. Money loses purchasing power at…

We looked here at the following announcement by the retailer WH Smith PLC: In preparation for the Group’s year end results for the financial year ending 31 August 2025, a current financial review has identified an overstatement of around £30m of expected Headline trading profit in North America. This overstatement is largely due to the…

As we discussed here, IFRIC recently discussed a fact pattern involving an entity that enters into a loan with its subsidiary… In the fact pattern, the entity and its subsidiary have different functional currencies; the intragroup loan is denominated in the functional currency of either the entity or its subsidiary; and isn’t part of the entity’s…

Let’s return to the upcoming IFRS 18, Presentation and Disclosure in Financial Statements… As we covered here, a key aspect of the new standard is its treatment of management-defined performance measures (MPMs), subtotals of income and expense that aren’t specifically required to be presented or disclosed under IFRS, but that an entity uses in public…