Para 8 of Ind AS 38 specifies that 'An intangible asset is an identifiable non-monetary asset without physical substance.'
Also as per para 8
"An asset is a resource:
(a) controlled by an entity
as a result of past events; and
(b) from which future economic benefits are expected to f..
Hedge accounting as covered under Para 6 of Ind AS 109 needs to determine the TYPE of hedge relationship that an entity is dealing with because the type of hedge determines accounting entries. If incorrectly identified the type of the hedge, then accounting will be totally wrong.
All types of hed..
The Ministry of Corporate affairs has notified the new Indian Accounting Standard (Ind AS) 116 Leases on March 30, 2019. As per the notification, this new Ind AS 116 – Leases is applicable on companies from April 01, 2019 (financial year 2019-2020).
1. What is GAAP Conversion?
Converting from one GAAP to another GAAP. It often means changing more than just the numbers; there are often wider business or reporting implications to manage. It also requires change in strategic and operational procedures or policies.
2. Why is GAAP Conversion r..
Under the new Ind AS 115, construction contract is treated exactly the same way as any other contract with customers.
As per Para 9 of Ind AS 115
‘An entity shall account for a contract with a customer that is within the scope of this Standard only when all of the following criteria are ..
With the applicability of Ind AS to all listed companies and unlisted with net worth more than 250 Crores w.e.f. 1.4.2018, there has been a lot of confusion with regard to measurement criteria specifically with respect to assets and liabilities which mee..
Depreciation as per written down value method (WDV) has been under the spotlight after the introduction of the Companies Act, 2013. Schedule II of the act mandates to provide depreciation as per useful life of assets using either straight line method or written down value method. This article is on ..
IFRS 16 represents the first major overhaul of lease accounting in over 30 years. The new Standard will affect most companies that report under IFRS and are involved in leasing, and will have a substantial impact on the financial statements of lessees of property and high value equipment.
How do you treat a variable lease payment in the financial statements of an interim period?
IFRS 16 must first be applied to accounting period beginning on or after 1 January 2019, including interim periods beginning on or after that date. The application of IFRS 16 to those interim per..
1. To understand any accounting standard in a better way, it is of most importance to know the objective of the standard. Objectives primarily cover key areas which standard address and reason why standard came into existence.
Objective of Ind AS-10:
To prescribe when entity adjust its fina..