Evangelia Tsakiroglou, Hans van der Veen, Arne Weber and Luci Wright.
Our thanks also go to everyone who directly or indirectly contributed to the book’s
creation, including the following members of the Financial Reporting Group in the UK:
Denise Brand, Maria Kingston, Anna Malcolm, Andrea Maylor, Mqondisi Ndlovu and
Anna Pickup.
We also thank Jeremy Gugenheim for his assistance with the production technology
throughout the period of writing.
viii Preface
London,
Jeremy Barnes
Alan Garry
Richard Moore
October 2018 Martin Beyersdorff
Archie Groenewald
Tina Patel
Mike Bonham
Prahalad Halgeri
Michael Pratt
Linzi Carr
Jane Hurworth
Tim Rogerson
Rob Carrington
Ted Jones
Vadim Shelaginov
Victor Chan
Bernd Kremp
Anna Sirocka
Wei Li Chan
Sanjeev Kumar
David Stolker
Larissa Connor
Max Lienhard
Claire Taylor
Pieter Dekker
Dean Lockhart
Michael Varila
Tim Denton
Sharon MacIntyre
Tracey Waring
Dennis Deysel
Takahiro Makino
Jane Watson
Dennis Esterhuizen Amanda Marrion
Diego Fernandez
Emily Moll
ix
Lists of chapters
Volume 1
1 International GAAP ............................................................................................................ 1
2 The IASB’s Conceptual Framework ............................................................................. 35
3 Presentation of financial statements and accounting policies ............................... 107
4 Non-current assets held for sale and discontinued operations .............................. 181
5 First-time
adoption
.......................................................................................................
209
6 Consolidated
financial statements .............................................................................. 357
7 Consolidation procedures and non-controlling interests .................................... 463
8 Separate
and
individual financial statements ............................................................ 531
9 Business
combinations
..................................................................................................
587
10 Business combinations under common control ....................................................... 705
11 Investments in associates and joint ventures ............................................................ 745
12 Joint arrangements ........................................................................................................ 823
13 Disclosure of interests in other entities ..................................................................... 875
14 Fair value measurement ................................................................................................ 931
15 Foreign exchange ......................................................................................................... 1105
16 Hyperinflation ................................................................................................................ 1175
17 Intangible assets ........................................................................................................... 1209
18 Property, plant and equipment .................................................................................. 1293
19 Investment property .................................................................................................... 1349
20 Impairment of fixed assets and goodwill ................................................................. 1421
21 Capitalisation of borrowing costs .............................................................................. 1547
22 Inventories ..................................................................................................................... 1575
Index of extracts from financial statements .............................................................. index 1
Index of standards ........................................................................................................... index 7
Index ............................................................................................................................... index 105
The lists of chapters in volumes 2 and 3 follow overleaf.
x
Lists of chapters
Volume 2
23 Leases (IAS 17) ............................................................................................................... 1601
24 Leases (IFRS 16) ............................................................................................................ 1685
25 Government grants ........................................................................................................ 1771
26 Service concession arrangements ............................................................................. 1793
27 Provisions, contingent liabilities and contingent assets ...................................... 1863
28 Revenue .......................................................................................................................... 1957
29 Income taxes ................................................................................................................ 2333
30 Share-based payment ................................................................................................. 2499
31 Employee benefits ........................................................................................................ 2761
32 Operating segments ..................................................................................................... 2843
33 Earnings per share ....................................................................................................... 2887
34 Events after the reporting period .............................................................................. 2941
35 Related party disclosures ............................................................................................ 2961
36 Statement of cash flows ............................................................................................. 2997
37 Interim financial reporting ......................................................................................... 3043
38 Agriculture ..................................................................................................................... 3127
39 Extractive industries .................................................................................................... 3179
Index of extracts from financial statements .............................................................. index 1
Index of standards ........................................................................................................... index 7
Index ..............................................................................................................................index 105
The list of chapters in volume 3 follows overleaf.
Lists of chapters
xi
Volume 3
40 Financial instruments: Introduction .................................
........................................ 3401
41 Financial instruments: Definitions and scope ........................................................ 3409
42 Financial instruments: Derivatives and embedded derivatives ......................... 3443
43 Financial instruments: Financial liabilities and equity ......................................... 3483
44 Financial instruments: Classification ........................................................................ 3591
45 Financial instruments: Recognition and initial measurement ............................. 3657
46 Financial instruments: Subsequent measurement ................................................. 3681
47 Financial instruments: Impairment ........................................................................... 3719
48 Financial instruments: Derecognition ...................................................................... 3875
49 Financial instruments: Hedge accounting .............................................................. 3963
50 Financial instruments: Presentation and disclosure .............................................. 4163
51 Insurance contracts (IFRS 4) ...................................................................................... 4277
52 Insurance contracts (IFRS 17) ..................................................................................... 4419
Index of extracts from financial statements .............................................................. index 1
Index of standards ........................................................................................................... index 7
Index ............................................................................................................................... index 105
xii
Lists of chapters
xiii
Abbreviations
The following abbreviations are used in this book:
Professional and regulatory bodies:
AASB
Australian Accounting Standards Board
AcSB
Accounting Standards Board of Canada
AICPA
American Institute of Certified Public Accountants
AOSSG
Asian-Oceanian Standard-Setters Group
APB
Accounting Principles Board (of the AICPA, predecessor of the FASB)
ARC
Accounting Regulatory Committee of representatives of EU Member States
ASAF
Accounting Standards Advisory Forum
ASB
Accounting Standards Board in the UK
ASBJ
Accounting Standards Board of Japan
ASU
Accounting Standards Update
CASC
China Accounting Standards Committee
CESR
Committee of European Securities Regulators, an independent committee
whose members comprised senior representatives from EU securities
regulators (replaced by ESMA)
CICA
Canadian Institute of Chartered Accountants
EC European
Commission
ECB
European Central Bank
ECOFIN The Economic and Financial Affairs Council
EDTF
Enhanced Disclosure Task Force of the (FSB)
EFRAG European
Financial
Reporting Advisory Group
EITF
Emerging Issues Task Force in the US
EPRA
European Public Real Estate Association
ESMA
European Securities and Markets Authority (see CESR)
EU European
Union
FAF
Financial Accounting Foundation
FASB
Financial Accounting Standards Board in the US
FCAG
Financial Crisis Advisory Group
xiv Abbreviations
FEE
Federation of European Accountants
FSB Financial
Stability
Board (successor to the FSF)
FSF
Financial Stability Forum
G4+1
The (now disbanded) group of four plus 1, actually with six members, that
comprised an informal ‘think tank’ of staff from the standard setters from
Australia, Canada, New Zealand, UK, and USA, plus the IASC
G7
The Group of Seven Finance Ministers (successor to G8)
G8
The Group of Eight Finance Ministers
G20
The Group of Twenty Finance Ministers and Central Bank Governors
GPPC
Global Public Policy Committee of the six largest accounting networks
HKICPA Hong Kong Institute of Certified Public Accountants
ICAI Institute
of
Chartered Accountants of India
IASB
International Accounting Standards Board
IASC International
Accounting Standards Committee. The former Board of the
IASC was the predecessor of the IASB
IASCF International
Accounting Standards Committee Foundation (predecessor of
the IFRS Foundation)
ICAEW
Institute of Chartered Accountants in England and Wales
ICAS Institute
of
Chartered Accountants of Scotland
IFAC
International Federation of Accountants
IFASS
International Forum of Accounting Standard Setters
IFRIC
The IFRS Interpretations Committee (formerly the International Financial
Reporting Interpretations Committee) of the IASB
IGC Implementation
Guidance
Committee on IAS 39 (now disbanded)
IOSCO International
Organisation of Securities Commissions
IPSASB
International Public Sector Accounting Standards Board
IPTF
International Practices Task Force (a task force of the SEC Regulations
Committee)
ISDA International
Swaps
and Derivatives Association
IVSC International
Valuation Standards Council
KASB Korea
Accounting Standards Board
RICS Royal
Institution
of Chartered Surveyors
SAC
Standards Advisory Council, predecessor of the IFRS Advisory Council
which provides advice to the IASB on a wide range of issues
SEC
Securities and Exchange Commission (the US securities regulator)
SIC
Standing Interpretations Committee of the IASC (replaced by IFRIC)
TEG
Technical Expert Group, an advisor to the European Commission
Abbreviations
xv
TRG
Joint Transition Resource Group for Revenue Recognition
Accounting related terms:
ADS
American Depositary Shares
AFS Available-for-sale
investment
ARB
Accounting Research Bulletins (issued by the AICPA)
ARS
Accounting Research Studies (issued by the APB)
ASC
Accounting Standards Codification®. The single source of authoritative US
GAAP recognised by the FASB, to be applied to non-governmental entities
for interim and accounting periods ending after 15 September 2009
ASU
Accounting Standards Update
BCUCC
Business Combinations Under Common Control
&nbs
p; CCIRS
Cross Currency Interest Rate Swap
CDO Collateralised
Debt Obligation
CGU Cash-generating
Unit
CU Currency
Unit
DD&A Depreciation,
Depletion and Amortisation
DPF Discretionary
Participation Feature
E&E
Exploration and Evaluation
EBIT
Earnings Before Interest and Taxes
EBITDA Earnings Before Interest, Taxes, Depreciation and Amortisation
EIR Effective
Interest
Rate
EPS
Earnings per Share
FAS
Financial Accounting Standards (issued by the FASB). Superseded by
Accounting Standards Codification® (ASC)
FC
Foreign currency
FICE
Financial Instruments with the Characteristics of Equity
FIFO First-In,
First-Out basis of valuation
FRS
Financial Reporting Standard (issued by the ASB)
FTA First-time
Adoption
FVLCD
Fair value less costs of disposal
FVLCS
Fair value less costs to sell (following the issue of IFRS 13, generally replaced
by FVLCD)
FVPL
Fair value through profit and loss
FVOCI
Fair value through other comprehensive income
xvi Abbreviations
GAAP
Generally accepted accounting practice (as it applies under IFRS), or
generally accepted accounting principles (as it applies to the US)
HTM Held-to-maturity
investment
IAS
International Accounting Standard (issued by the former board of the IASC)
IBNR
Incurred but not reported claims
IFRS International
Financial
Reporting Standard (issued by the IASB)
IGC Q&A Implementation guidance to the original version of IAS 39 (issued by the IGC)
IPO
Initial Public Offering
IPR&D In-process
Research and Development
IPSAS
International Public Sector Accounting Standard
IRR
International GAAP® 2019: Generally Accepted Accounting Practice under International Financial Reporting Standards Page 2
