Top 4 Changes in Profit or Loss Statement under IFRS 18 (with video)
The new standard IFRS 18 brought a few significant changes in the financial reporting, especially in profit or loss statement. Let’s examine the top four of them and illustrate them on simple examples. #1 New categories of income and expenses under IFRS 18 Under…
How to Prepare Statement of Changes in Equity under IFRS 18 (with excel and video)
As the new IFRS 18 has been adopted, it might bring a bit of turmoil to some accountants who might need to change the structure of their accounts to adjust to the new requirements. The good news is that the rules for the statement of…
IFRS 18 Presentation and Disclosure in Financial Statements: summary
IFRS 18 was issued in 2024 and is mandatorily applicable for the period starting on or after 1 January 2027, with earlier application permitted. However, please watch out because we need to apply IFRS 18 retrospectively, with the restatement of the comparative period. It means…
IFRS 9 Hedge accounting example: why and how to do it
Hedge accounting is an optional model for reporting the derivatives, yet it is not a free ride: there are conditions and admin work to do. So, if there is so much additional work related to hedge accounting, why even bother? Well, some people say that…
IFRS 17 Example: Initial Measurement of Insurance Contracts
Trying to make IFRS 17 complexity a bit easier, here’s the practical numerical solved example of initial measurement of insurance contracts, using the general model under IFRS 17 Insurance Contracts. Please see the following topics: The main principles of initial measurement under IFRS 17; Example…
IFRS 17 Insurance Contracts: Summary
IFRS 17 was issued in 2017 and is mandatorily applicable for the period starting on or after 1 January 2023. It replaced “temporary” standard IFRS 4 Insurance Contracts, which is no longer applicable. This summary splits the topics covered in IFRS 17 to the following…
Example: Consolidation with Foreign Currencies
Last update: 10/2022 (video added to the end of the article) In today’s world, most groups spread their activities abroad and logically different members of the group operate in different currencies. Is the consolidation process of combining the financial statements of two (or more) companies…
IFRS S2 Climate-related Disclosures: What, How, When
Climate-related disclosures as arranged by IFRS S2 affect literally every single company without exception (I mean those issuing reports under IFRS). Yes, I know this is a strong statement, but if you keep reading, you will find out why and how. IFRS S1and IFRS S2…
IFRS S1: What, How, Where, How much it costs
so, what is IFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information about? As its title says, it is about the general requirements for disclosure of sustainability-related financial information. As a result, you will not find any specific rules for the disclosures, because IFRS…
IFRS Sustainability Reporting Just Behind Your Door
It is here. Two newest standards, IFRS S1 and IFRS S2, were published in June 2023. I think that’s not news for anybody with two eyes and ears, because the information spread everywhere. Well, my usual approach is rather practical, so I will skip all…
