licences of intellectual property that are not distinct,
Ch. 28, 8.1.3
Ch. 28, 9.1.2
alternative use, assessment of, Ch. 28, 8.1.3.A
licence renewals, Ch. 28, 9.4
changing from point in time under current
nature of the entity’s promise in granting a licence,
standards to recognise revenue over time under
determining, Ch. 28, 9.2
IFRS 15, Ch. 28, 8.1.3.C
applying the licensing application guidance to a single
enforceable right to payment: determining whether
(bundled) performance obligation that includes a
entity has, Ch. 28, 8.1.3.E
licence of intellectual property, Ch. 28, 9.2.1
enforceable right to payment: does an entity need a
sales-based/usage-based royalties on, Ch. 28, 9.5
present unconditional right to payment?,
recognition of royalties for a licence that provides a
Ch. 28, 8.1.3.F
right to access intellectual property, Ch. 28, 9.5.1
enforceable right to payment: for performance
transfer of control of licensed intellectual property,
completed to date, Ch. 28, 8.1.3.B
Ch. 28, 9.3
enforceable right to payment: non-refundable
right to access, Ch. 28, 9.3.1
upfront payments that represent the full
right to use, Ch. 28, 9.3.2
transaction price, Ch. 28, 8.1.3.G
use and benefit requirement, Ch. 28, 9.3.3
what to consider when assessing whether
objective, Ch. 28, 2
performance creates an asset with no
other measurement and recognition topics, Ch. 28, 10
alternative use, Ch. 28, 8.1.3.D
contract costs, Ch. 28, 10.3
customer controls asset as it is created/enhanced,
amortisation of capitalised costs, Ch. 28, 10.3.3
Ch. 28, 8.1.2
costs to obtain a contract, Ch. 28, 10.3.1
customer simultaneously receives and consumes
costs to fulfil a contract, Ch. 28, 10.3.2
benefits as the entity performs, Ch. 28, 8.1.1
impairment of capitalised costs, Ch. 28, 10.3.4
measuring progress over time, Ch. 28, 8.2
onerous contracts, Ch. 28, 10.2
examples, Ch. 28, 8.2.3
warranties, Ch. 28, 10.1
implementation questions, Ch. 28, 8.2.4
assurance-type warranty, Ch. 28, 10.1.3
input methods, Ch. 28, 8.2.2
contracts that contain both assurance and service-type
output methods, Ch. 28, 8.2.1
warranties, Ch. 28, 10.1.4
recognising revenue for customer options for additional
service-type warranties, Ch. 28, 10.1.2
goods and services, Ch. 28, 8.9
overview, Ch. 28, 2.1
recognising revenue for licences of intellectual property,
presentation and disclosure, Ch. 28, 11
Ch. 28, 8.7
disclosure objective and general requirements, Ch. 28, 11.3
recognising revenue when a right of return exists, Ch. 28,
disclosures in interim financial statements, Ch. 28, 11.6
8.8
presentation requirements for contract assets and contract
repurchase agreements, Ch. 28, 8.4
liabilities, Ch. 28, 11.1
forward/call option held by the entity, Ch. 28, 8.4.1
specific disclosure requirements, Ch. 28, 11.4
put option held by the customer, Ch. 28, 8.4.2
assets recognised from the costs to obtain or fulfil a
sales with residual value guarantees, Ch. 28, 8.4.3
contract, Ch. 28, 11.4.3
scope, Ch. 28, 3
contracts with customers, Ch. 28, 11.4.1
collaborative arrangements, Ch. 28, 3.3
contract balances, Ch. 28, 11.4.1.B
definition of customer, Ch. 28, 3.2
disaggregation of revenue, Ch. 28, 11.4.1.A
interaction with other standards, Ch. 28, 3.4
performance obligations, Ch. 28, 11.4.1.C
certain fee-generating activities of financial institutions,
use of ‘backlog’ practical expedient when criteria to
Ch. 28, 3.4.1.B
use ‘right to invoice’ expedient are not met,
contributions, Ch. 28, 3.4.1.E
Ch. 28, 11.4.1.D
credit card arrangements, Ch. 28, 3.4.1.C
practical expedients, Ch. 28, 11.4.4
credit card-holder rewards programmes, Ch. 28,
significant judgements, Ch. 28, 11.4.2
3.4.1.D
timing of satisfaction of performance obligations,
fixed-odds wagering contracts, Ch. 28, 3.4.1.F
Ch. 28, 11.4.2.A
Islamic financing transactions, Ch. 28, 3.4.1.A
transaction price and the amounts allocated to
rights and obligations within, Ch. 41, 3.13
performance obligations, Ch. 28, 11.4.2.B
transition methods, Ch. 28, 2.3
Index
169
completed contract, Ch. 28, 2.3
exercise price of a purchase option, Ch. 24, 4.5.4
date of initial application, Ch. 28, 2.3
in-substance fixed lease payments, Ch. 24, 4.5.1
disclosures prior to adoption, Ch. 28, 2.3.5
lease incentives, Ch. 24, 4.5.2
full retrospective adoption, Ch. 28, 2.3.1
payments for penalties for terminating a lease, Ch. 24, 4.5.5
modified retrospective adoption, Ch. 28, 2.3.2
reassessment of the lease liability, Ch. 24, 4.5.9
other transition considerations, Ch. 28, 2.3.4
remeasurement by lessors, Ch. 24, 4.5.10
transition disclosures in interim financial statements in the
variable lease payments that depend on an index/rate,
year of adoption, Ch. 28, 2.3.3
Ch. 24, 4.5.3
IFRS 16– Leases, Ch. 24, 1–10. See also Leases (IFRS 16)
lease term and purchase options, Ch. 24, 4.4
business combinations, Ch. 24, 9, 10.5.2
cancellable leases, Ch. 24, 4.4.1
acquiree in a business combination is a lessee, Ch. 24, 9.1
reassessment of lease term and purchase options–lessees,
acquiree in a business combination is a lessor, Ch. 24, 9.2
Ch. 24, 4.4.2
commencement date of the lease, Ch. 24, 4.2
reassessment of lease term and purchase options–lessors,
definition, Ch. 24, 3
Ch. 24, 4.4.3
contract combinations, Ch. 24, 3.3
lessee accounting, Ch. 24, 5
determining whether an arrangement contains a lease,
disclosure, Ch. 24, 5.8
Ch. 24, 3.1
additional, Ch. 24, 5.8.3
identifying and separating lease and non-lease components
of assets, liabilities, expenses and cash flows, Ch. 24,
of a contract, Ch. 24, 3.2
5.8.2
discount rates, Ch. 24, 4.6
objective, Ch. 24, 5.8.1
determination of the incremental borrowing rate by a
initial measurement, Ch. 24, 5.2
subsidiary with centralised treasury functions, Ch. 24,
lease liabilities, Ch. 24, 5.2.2
4.6.1
right-of-use assets, Ch. 24, 5.2.1
economic life, Ch. 24, 4.8
initial recognition, Ch. 24, 5.1
effective date and transition, Ch. 24, 10
leases of low-value assets, Ch. 24, 5.1.2
amounts previously recognised in a business combination,
short-te
rm leases, Ch. 24, 5.1.1
Ch. 24, 10.5.2
lease modifications, Ch. 24, 5.5
disclosure, Ch. 24, 10.6
determining whether a lease modification results in a
effective date, Ch. 24, 10.1; Ch. 50, 8.4
separate lease, Ch. 24, 5.5.1
lessee transition, Ch. 24, 10.3
lessee accounting for a modification that does not
full retrospective approach, Ch. 24, 10.3.1
result in a separate lease, Ch. 24, 5.5.2
modified retrospective approach, Ch. 24, 10.3.2
lessee matters, Ch. 24, 5.6
leases previously classified as operating leases,
impairment of right-of-use assets, Ch. 24, 5.6.1
Ch. 24, 10.3.2.A
income tax accounting, Ch. 24, 5.6.4
leases previously classified as finance leases, Ch. 24,
leases denominated in a foreign currency, Ch. 24,
10.3.2.C
5.6.2
separating and allocating lease and non-lease
portfolio approach, Ch. 24, 5.6.3
components of a contract upon transition,
presentation, Ch. 24, 5.7
Ch. 24, 10.3.2.B
remeasurement of lease liabilities and right-of-use assets,
lessor transition, Ch. 24, 10.4
Ch. 24, 5.4
subleases, Ch. 24, 10.4.1
subsequent measurement, Ch. 24, 5.3
references to IFRS 9, Ch. 24, 10.5.3
expense recognition, Ch. 24, 5.3.3
sale and leaseback transactions, Ch. 24, 10.5.1
lease liabilities, Ch. 24, 5.3.2
transition, Ch. 24, 10.2
right-of-use assets, Ch. 24, 5.3.1
fair value, Ch. 24, 4.9
lessee involvement with the underlying asset before the
impairment consideration, Ch. 20, 13
commencement date, Ch. 24, 4.3
lease payments during, Ch. 20, 13.2
lessor accounting, Ch. 24, 6
lease payments beyond the current lease term, Ch. 20, 13. 3
disclosure, Ch. 24, 6.7
transition methods, Ch. 20, 13.5
for all lessors, Ch. 24, 6.7.2
treatment of lease liabilities, Ch. 20, 13.1
for finance leases, Ch. 24, 6.7.3
when to test right-of-use assets, Ch. 20, 13.1
objective, Ch. 24, 6.7.1
inception of the lease (inception date), Ch. 24, 4.1
for operating leases, Ch. 24, 6.7.4
initial direct costs, Ch. 24, 4.7
finance leases, Ch. 24, 6.2
directly attributable costs other than initial direct costs
initial measurement, Ch. 24, 6.2.1
incurred by lessees, Ch. 24, 4.7.1
manufacturer/dealer lessors, Ch. 24, 6.2.2
lease payments, Ch. 24, 4.5
remeasurement of the net investment in the lease,
amounts expected to be payable under residual value
Ch. 24, 6.2.4
guarantees–lessees only, Ch. 24, 4.5.6
subsequent measurement, Ch. 24, 6.2.3
amounts payable under residual value guarantees–lessors
lease classification, Ch. 24, 6.1
only, Ch. 24, 4.5.7
criteria, Ch. 24, 6.1.1
amounts not included in lease payments, Ch. 24, 4.5.8
reassessment of, Ch. 24, 6.1.4
170 Index
IFRS 16– Leases—contd
insurance contract definition, Ch. 52, 3
lessor accounting —contd
changes in the level of insurance risk, Ch. 52, 3.3
lease classification —contd
the definition, Ch. 52, 3.1
residual value guarantees included in the lease
insurance and non-insurance contracts, Ch. 52, 3.7
classification test, Ch. 24, 6.1.3
insurance risk vs. financial risk, Ch. 52, 3.6 payments in
test for land and buildings, Ch. 24, 6.1.2
kind, Ch. 52, 3.5
lease modifications, Ch. 24, 6.4
significant insurance risk, Ch. 52, 3.2
determining whether a modification to a finance lease
uncertain future events, Ch. 52, 3.4
results in a separate lease, Ch. 24, 6.4.1
initial recognition, Ch. 52, 6
lessor accounting for a modification to a finance lease that
level of aggregation, Ch. 52, 5
does not result in a separate lease, Ch. 24, 6.4.2
identifying groups according to expected profitability,
modification to an operating lease, Ch. 24, 6.4.3
Ch. 52, 5.2
lessor matters, Ch. 24, 6.5
identifying groups for contracts applying the premium
portfolio approach, Ch. 24, 6.5.1
allocation approach, Ch. 52, 5.3
operating leases, Ch. 24, 6.3
identifying portfolios, Ch. 52, 5.1
presentation, Ch. 24, 6.6
measurement
objective, Ch. 24, 2.1
contracts with participation features, Ch. 52, 11
recognition exemptions, Ch. 24, 2.3
cash flows that affect or are affected by cash flows to
sale and leaseback transactions, Ch. 24, 8
policyholders of other contracts (mutualisation),
determining whether the transfer of an asset is a sale,
Ch. 52, 11.1
Ch. 24, 8.1
direct participation features, Ch. 52, 11.2
disclosures, Ch. 24, 8.4
coverage period for insurance contracts with, Ch. 52,
transactions in which the transfer of an asset is a sale,
11.2
Ch. 24, 8.2
definition, Ch. 52, 11.2.1
accounting for the leaseback, Ch. 24, 8.2.2
disaggregation of finance income or expense between
accounting for the sale, Ch. 24, 8.2.1
profit or loss and other comprehensive income,
adjustment for off-market terms, Ch. 24, 8.2.3
Ch. 52, 11.2.5
transactions in which the transfer of an asset is not a sale,
measurement of CSM using variable fee approach,
Ch. 24, 8.3
Ch. 52, 11.2.2
scope, Ch. 24, 2.2
risk mitigation, Ch. 52, 11.2.4
service concession arrangements, Ch. 26, 2.3.2
investment contracts with discretionary participation
subleases, Ch. 24, 7
features, Ch. 52, 11.3
definition, Ch. 24, 7.1
contracts with switching features, Ch. 52, 11.3.1
disclosure, Ch. 24, 7.5
general model, Ch. 52, 8
intermediate lessor accounting, Ch. 24, 7.2
allocation of the contractual service margin to profit or
presentation, Ch. 24, 7.4
loss, Ch. 52, 8.7
sublessee accounting, Ch. 24, 7.3
contract boundary, Ch. 52, 8.1
IFRS 17-Insurance contracts, Ch. 52. See also Insurance contracts
acquisition cash flows paid on an initially written
acquisitions of insurance contracts, Ch. 52, 13
contract, Ch. 52, 8.1.3
common control business combinations, Ch. 52, 13.2
constraints or limitations relevant in assessing
practical issues, Ch. 52, 13.3
repricing, Ch. 52, 8.1.2
subsequent treatment of contracts acquired in their
issues related to reinsurance contracts held, Ch. 52,
settlement period, Ch. 52, 13.1
8.1.4
definitions in IFRS 17, Ch. 52, 2.2
options to add insurance coverage, Ch. 52, 8.1.1
derecognition, Ch. 52, 12.2
contractual service margin (CSM), Ch. 52, 8.5
accounting
for, Ch. 52, 12.3
discount rates, Ch. 52, 8.3
disclosure, Ch. 52, 16
estimates of expected future cash flows, Ch. 52, 8.1
explanation of recognised amounts, Ch. 52, 16.1
contract boundary, Ch. 52, 8.2.1
nature and extent of risks arising from contracts within the
excluded from the contract boundary, Ch. 52,
scope of IFRS 17, Ch. 52, 16.3
8.2.2
significant judgements in applying IFRS 17, Ch. 52, 16.2
market and non-market variables, Ch. 52, 8.2.3
effective date and transition, Ch. 52, 17
using current estimates, Ch. 52, 8.2.4
effective date, Ch. 52, 17.1
within the contract boundary, Ch. 52, 8.2.2
entities that have not previously applied IFRS 9, Ch. 52,
insurance contracts issued by mutual entities, Ch. 52,
17.6
8.10
fair value approach, Ch. 52, 17.4
onerous contracts, Ch. 52, 8.8
modified retrospective approach, Ch. 52, 17.3
other matters, Ch. 52, 8.11
redesignation of financial assets – IFRS 9 previously
impairment of insurance receivables, Ch. 52, 8.11.1
applied, Ch. 52, 17.5
policyholder loans, Ch. 52, 8.11.2
transition, Ch. 52, 17.2
reinsurance contracts issued, Ch. 52, 8.9
disclosures about the effect of, Ch. 52, 17.2.1
boundary of, Ch. 52, 8.9.1
Index
171
determining the quantity of benefits for identifying
IFRS Taxonomy, Ch. 1, 2.6
coverage units, Ch. 52, 8.9.2
IFRS Taxonomy Consultative Group, Ch. 1, 2.9
issued adverse loss development covers, Ch. 52, 8.9.2
IFRS Transition Resource Group for Impairment of Financial
risk adjustment for non-financial risk, Ch. 52, 8.4
Instruments (ITG), Ch. 47, 1.5
subsequent measurement, Ch. 52, 8.6
Impairment of assets, Ch. 20. See also IAS 36; Impairment of
of CSM (for contracts without direct participation
goodwill; Value in use (VIU)
features), Ch. 52, 8.6.2
basis of recoverable amount–value-in-use (VIU) or fair value
liability for incurred claims, Ch. 52, 8.6.3
less costs of disposal (FVLCD), Ch. 39, 11.3
liability for remaining coverage, Ch. 52, 8.6.1
calculation of FVLCD, Ch. 20, 6.1, Ch. 39, 11.5
overview of measurement, Ch. 52, 7
calculation of VIU, Ch. 20, 7, Ch. 39, 11.4
insurance contracts in a foreign currency, Ch. 52, 7.3
held for sale, Ch. 20, 5.1
modifications to the general model, Ch. 52, 7.2
identifying cash-generating units (CGUs), Ch. 20, 3, Ch. 39,
overview of general model, Ch. 52, 7.1
11.2
International GAAP® 2019: Generally Accepted Accounting Practice under International Financial Reporting Standards Page 990
