How to Account for Cryptocurrencies in line with IFRS
Cryptocurrencies + their accounting under IFRS explained very clearly. Video included!
Accounting for discounts under IFRS
Discounts are probably the most popular selling tool in business. Without a doubt, many companies discount the price for their products or services in various forms, for example: Buy 1, get 1 free (and modifications), Get 10% off for purchases over CU 100 (and modifications),…
How to Account for Decommissioning Provision under IFRS
When a company acquires certain types of long-term assets, it sometimes has an obligation to remove these assets after the end of their useful lives and restore the site. Typical example of such an asset is an oil rig or a nuclear power plant. When…
IFRSbox Recommends: Why and What to Read
I am a passionate reader. I read A LOT. I read EVERY SINGLE DAY, usually 1 or 2 hours (I almost never watch TV though). It makes about 100+ books plus tons of articles each year. I started to read when I was 4. That…
How to Account for Employee Loans (interest-free or below-market interest)
After I wrote an article about capitalizing borrowing cost, I got a lot of e-mails asking me actually HOW to account for loans that do not bear the interest rate reflecting market conditions. In other words, how to account for loans at below-market interest rate,…
How to Capitalize Borrowing Costs under IAS 23
Should you capitalize or not? When it comes to determining the cost of your assets, most standards ask to include all directly attributable items. What about interest and other borrowing costs? Did you know that if you have 10 dollars in your pocket and no…
IFRS 15 Examples: How IFRS 15 Affects Your Company
IFRS 15 Contracts with Customers introduced a huge change and a very difficult challenge for almost every single company. After I wrote a couple of articles about IFRS 15 here and here, and after I discussed with some of my friends CFOs or auditors, there…
How Ignoring Hedging Can Hurt Your Business
Hedge accounting has a reputation as being one of the most difficult areas for people to get to grips with, which is a shame because it is a very useful accounting “technology”. You can find several articles related to basics of hedge accounting in line…
Accounting for Prepayments in Foreign Currency under IFRS
Transactions in foreign currencies are sometimes a nightmare. Obviously, we are trading with each other, our own currencies are different and foreign exchange rates are jumping up and down constantly. We are all aware of basic rules with regard to selection of appropriate exchange rate…
How to Account for Artwork under IFRS
A few weeks ago I visited our dentist together with my little 4-year old girl just to check up everything’s OK with her little teeth. While we were sitting in the waiting room, my little one playing with the small teeth replicas (OMG!), I looked…
