depreciation, cost model, Ch. 18, 5
Ch. 15, 6.1.5
charge, Ch. 18, 5.3
goodwill and fair value adjustments, Ch. 15, 6.5
depreciable amount, Ch. 18, 5.2
non-coterminous period ends, Ch. 15, 6.4
methods, Ch. 18, 5.6
partial disposal of foreign operation, Ch. 15, 6.6.2
significant ‘parts’ of asset, Ch. 18, 5.1
translation of equity items, Ch. 15, 6.2
start and finish, Ch. 18, 5.5
equity balances resulting from income and expenses
and useful life of asset, Ch. 18, 5.4
being recognised in other comprehensive income,
derecognition and disposal, Ch. 18, 7
Ch. 15, 6.2.3
held for sale and discontinued operations (IFRS 5),
equity balances resulting from transactions with equity
Ch. 18, 7.1
holders, Ch. 15, 6.2.2
partial disposals and undivided interests, Ch. 18, 7.3
share capital, Ch. 15, 6.2.1
of parts (‘components’) of an asset, Ch. 18, 3.2
translation to, Ch. 15, 6.1
sale of assets held for rental, Ch. 18, 7.2
accounting for foreign operations where sub-groups
disclosure, Ch. 18, 8
exist, Ch. 15, 6.1.5
environmental and safety equipment, Ch. 18, 3.1.2
calculation of average rate, Ch. 15, 6.1.4
exchanges of assets, Ch. 18, 4.4
dual rates, suspension of rates and lack of
extractive industries, Ch. 39, 15
exchangeability, Ch. 15, 6.1.3
care and maintenance, Ch. 39, 15.3
where functional currency is not that of a
major maintenance and turnarounds/renewals and
hyperinflationary economy, Ch. 15, 6.1.1
reconditioning costs, Ch. 39, 15.1
where functional currency is that of a hyperinflationary
as capital reimbursements, Ch. 39, 15.4.2.A
economy, Ch. 15, 6.1.2
decommissioning provisions, Ch. 39, 15.4.2.C
Presentation of financial statements and accounting policies,
‘make-up’ oil, Ch. 39, 15.4.2.B
Ch. 3, 1–6. See also IAS 1; IAS 8
stripping costs in the production phase of a surface mine
(mining), Ch. 39, 15.5
Previous GAAP, Ch. 5, 2.3
disclosures, Ch. 39, 15.5.5
carrying amount as deemed cost, Ch. 5, 5.2.4.C
initial recognition, Ch. 39, 15.5.3
definition of, Ch. 5, 1.3
recognition criteria-stripping activity asset, Ch. 39,
determining, Ch. 5, 2.3
15.5.2
transition to IFRSs from a similar GAAP, Ch. 5, 2.3.1
scope of IFRIC 20, Ch. 39, 15.5.1
restatement of costs recognised under, Ch. 5, 5.3.2
subsequent measurement, Ch. 39, 15.5.4
Price, fair value measurement, Ch. 14, 9
unitisations, Ch. 39, 15.4
transaction costs, Ch. 14, 9.1
well workovers and recompletions (oil and gas), Ch. 39, 15.2
transportation costs, Ch. 14, 9.2
fair value, Ch. 18, 6.1
Price risk, Ch. 50, 5
finance leases, assets held under, Ch. 18, 6.5
Principal-agency situations, IFRS 10, Ch. 6, 6
first-time adoption, Ch. 5, 7.4
application examples in IFRS 10, Ch. 6, 6.6–6.7
depreciation method and rate, Ch. 5, 7.4.1
delegated power: principals and agents, Ch. 6, 6.1
IFRIC 1 exemptions, Ch. 5, 5.13.1
exposure to variability of returns from other interests, Ch. 6, 6.5
parts approach, Ch. 5, 7.4.4
Index
193
residual value and useful life estimation, Ch. 5, 7.4.2
recognition of an asset/expense when a levy is
revaluation model, Ch. 5, 7.4.3
recorded, Ch. 27, 6.8.3
government grants, assets acquired with, Ch. 18, 4.6
scope of IFRIC 21, Ch. 27, 6.8.1
impairment, Ch. 18, 5.7
liabilities associated with emissions trading schemes,
income, Ch. 18, 4
Ch. 27, 6.5
earned while bringing the asset to the intended location
litigation and other legal claims, Ch. 27, 6.11
and condition, Ch. 18, 4.2.1
obligations to make donations to non-profit organisations,
received during the construction of property, Ch. 18, 4.2.2
Ch. 27, 6.14
interim financial reporting, Ch. 37, 9.1
onerous contracts, Ch. 27, 6.2
inventory, classification as, Ch. 18, 3.1.5
refunds policy, Ch. 27, 6.12
land, Ch. 18, 5.4.2
restructuring provisions, Ch. 27, 6.1
measurement after recognition
self insurance, Ch. 27, 6.13
cost model, Ch. 18, 5
warranty provisions, Ch. 27, 6.10
revaluation model, Ch. 18, 6
measurement, Ch. 27, 4
residual values, Ch. 18, 5.2
anticipating future events that may affect the estimate of
revaluation
cash flows, Ch. 27, 4.4
assets held under finance leases, Ch. 18, 4.5
best estimate of provision, Ch. 27, 4.1 changes and uses of
revaluation policy, adopting, Ch. 18, 6.4
provisions, Ch. 27, 4.9
reversals of downward valuations, Ch. 18, 6.3
changes in contingent liabilities recognised in a business
valuation surpluses and deficits, accounting for, Ch. 18, 6.2
combination, Ch. 27, 4.10
sale of assets held for rental, Ch. 18, 7.2
dealing with risk and uncertainty in measuring a provision,
scope, Ch. 18, 2.1
Ch. 27, 4.2
significant parts of assets, Ch. 18, 5.1
discounting the estimated cash flows to a present value,
spare parts and minor items, Ch. 18, 3.1.1
Ch. 27, 4.3
technological change, Ch. 18, 5.4.3
adjusting for risk and using a government bond rate,
unit of production method, Ch. 18, 5.6.2
Ch. 27, 4.3.2
useful lives, Ch. 18, 5.4
effect of changes in interest rates on the discount rate
Prospective resources, Ch. 39, 2.2.1
applied, Ch. 27, 4.3.6
Provisions, Contingent Liabilities and Contingent Assets,
own credit risk is not taken into account, Ch. 27, 4.3.3
Ch. 27, 1–7. See also IAS 37; Restructuring provisions
pre-tax discount rate, Ch. 27, 4.3.4
cases in which no provision should be recognised, Ch. 27, 5
real vs. nominal rate, Ch. 27, 4.3.1
future operating losses, Ch. 27, 5.1
unwinding of the discount, Ch. 27, 4.3.5
rate-regulated activities, Ch. 27, 5.4
disposal of related assets, Ch. 27, 4.8
repairs and maintenance of owned assets, Ch. 27, 5.2
joint and several liability, Ch. 27, 4.7
staff training costs, Ch. 27, 5.3
provisions are not reduced for gains on disposal of related
disclosure requirements, Ch. 27, 7
assets, Ch. 27, 4.8
contingent assets, Ch. 27, 7.3
provisions that will be settled in a currency other than the
contingent liabilities, Ch. 27, 7.2
entity’s functional currency, Ch. 27, 4.5
provisions, Ch. 27, 7.1
reimbursements, insurance and other recoveries from third
reduced disclosure when information is seriously
parties, Ch. 27,
4.6
prejudicial, Ch. 27, 7.4
settlement in a foreign currency, Ch. 27, 4.5
examples of provisions and contingencies, Ch. 27, 6
recognition, Ch. 27, 3
decommissioning provisions, Ch. 27, 6.3
contingencies, Ch. 27, 3.2
changes in estimated decommissioning costs (IFRIC
contingent assets, Ch. 27, 3.2.2
1), Ch. 27, 6.3.1
obligations contingent on the successful recovery
changes in legislation after construction of the asset,
of, Ch. 27, 3.2.2.A
Ch. 27, 6.3.2
contingent liabilities, Ch. 27, 3.2.1
funds established to meet an obligation (IFRIC 5),
how probability determines whether to recognise or
Ch. 27, 6.3.3
disclose, Ch. 27, 3.2.3
dilapidation and other provisions relating to leased assets,
determining when a provision should be recognised,
Ch. 27, 6.9
Ch. 27, 3.1
environmental provisions–general guidance in IAS 37,
an entity has a present obligation as a result of a past
Ch. 27, 6.4
event, Ch. 27, 3.1.1
EU Directive on ‘Waste Electrical and Electronic
it is probable that an outflow of resources embodying
Equipment’ (IFRIC 6), Ch. 27, 6.7
economic benefits will be required to settle the
green certificates compared to emissions trading schemes,
obligation, Ch. 27, 3.1.2
Ch. 27, 6.6
a reliable estimate can be made of the amount of the
levies imposed by governments, Ch. 27, 6.8
obligation, Ch. 27, 3.1.3
recognition and measurement of levy liabilities,
recognising an asset when recognising a provision, Ch. 27, 3.3
Ch. 27, 6.8.2
‘Proxy hedges,’ designating, Ch. 49, 6.2.1
194 Index
Prudence, Ch. 51, 8.2.3
use of present value techniques to measure fair value for
Public Company Accounting Oversight Board, Ch. 2, 1.2
liabilities and an entity’s own equity instruments not held
Public-to-private service concession arrangements (IFRIC 12),
by other parties as asset, Ch. 14, 11.2.2.A
Ch. 26, 2.1
Rate-regulated activities, intangible assets, Ch. 17, 11.1
Publicly accountable enterprises, Ch. 1, 4.3.2
Reacquired rights, Ch. 9, 5.5.3
Purchased options,
Real estate inventory, Ch. 22, 4
call option (EPS), Ch. 33, 6.4.3
classification of, Ch. 22, 4.1
hedge accounting, Ch. 49, 3.2.2, 7.3.3.C
costs of, Ch. 22, 4.2
put option (EPS), Ch. 33, 6.4.3
individual units in multi-unit developments, Ch. 22, 4.2.1
and warrants (EPS), Ch. 33, 6.4.3
property demolition and operating lease costs, Ch. 22,
Pure-service contract, Ch. 39, 5.4
4.2.2
Push down accounting, Ch. 5, 5.5.2.A; Ch. 9, 15
Real Estate Investment Trusts (REITs), Ch. 51, 6
Put option(s)
Rebalancing, hedge accounting, Ch. 49, 8.2
held by the customer, Ch. 28, 8.4.2
definition, Ch. 49, 8.2.1
over non-controlling interests, Ch. 7, 6.2, 6.3, 6.4, 6.5, 6.6,
mechanics of, Ch. 49, 8.2.3
7.4, 7.5; Ch. 9, 8.5 ( see also Noncontrolling interests, call
requirement to rebalance, Ch. 49, 8.2.2
and put options over)
Receivables
purchased put option, Ch. 43, 11.3.1
acquired in business combination, Ch. 45, 3.3.4; Ch. 50,
written put option, Ch. 43, 11.3.2
4.6.1
Puttable instruments, Ch. 43, 4.6.2
lease receivables, measurement of expected credit losses,
classified as equity, Ch. 3, 5.4.2; Ch. 43, 4.6; Ch. 50, 5.4.4
Ch. 47, 10.2
options over, IAS 32 specific exception, Ch. 30, 2.2.4.J
recognition, Ch. 45, 2.1.1
definitions, Ch. 43, 3
trade receivables, measurement of expected credit losses,
embedded derivatives, Ch. 42, 5.1.9
Ch. 47, 10.1
entitling the holder to a pro rata share of net assets only on
trade receivables with no significant financing component
liquidation, Ch. 43, 4.6.3
initial measurement, Ch. 45, 3.2
IFRIC 2, Ch. 43, 4.6.6
Reciprocal interests in equity accounted entities, Ch. 11, 7.6.2
issue, Ch. 43, 4.6.1
measurement of noncontrolling interests where an associate
issued by a subsidiary, Ch. 43, 4.6.4.A
holds and interest in a subsidiary, Ch.7, 5.2.3
meaning of ‘identical features,’ Ch. 43, 4.6.4.C
in reporting entity accounted for, Ch. 11, 7.6.2.A
no obligation to deliver cash or another financial asset, Ch. 43,
in reporting entity not accounted for, Ch. 11, 7.6.2.B
4.6.4.D
Reclassification adjustments, financial statements, Ch. 3, 3.2.4.B
reclassification, Ch. 43, 4.6.5
Recognition of financial instruments, Ch. 45, 2
relative subordination of the instrument, Ch. 43, 4.6.4.B
general requirements, Ch. 45, 2.1
substantially fix or restrict the residual return to the holder of
cash collateral, Ch. 45, 2.1.7
an instrument, Ch. 43, 4.6.4.E
firm commitments to purchase/sell goods/services, Ch. 45,
transactions entered into by an instrument holder other than
2.1.2
as owner of the entity, Ch. 43, 4.6.4.F
forward contracts, Ch. 45, 2.1.3
Qualifying assets, Ch. 21, 3. See also IAS 23
option contracts, Ch. 45, 2.1.4
assets measured at fair value, Ch. 21, 3.2
planned future/forecast transactions, Ch. 45, 2.1.5
construction contracts, Ch. 21, 3.3
principal vs. agent, Ch. 45, 2.1.8
financial assets, Ch. 21, 3.4
receivables and payables, Ch. 45, 2.1.1
inventories, Ch. 21, 3.1
transfers of financial assets not qualifying for derecognition
Qualitative disclosures, financial instruments, Ch. 50, 5.1
by transferor, Ch. 45, 2.1.6
Quantitative disclosures, financial instruments, Ch. 50, 5.2, 5.6
‘regular way’ transactions, Ch. 45, 2.2
capital disclosures, Ch. 50, 5.6.3
financial assets: general requirements, Ch. 45, 2.2.1
concentrations of risk, Ch. 50, 5.6.1
contracts not settled according to marketplace
operational risk, Ch. 50, 5.6.2
convention: derivatives, Ch. 45, 2.2.1.B
exercise of a derivative, Ch. 45, 2.2.1.D
Quantitative thresholds, operating segments, Ch. 32, 1.3, 3.2.2
multiple active markets: settlement provisions, Ch. 45,
Quoted prices in active markets, Ch. 14, 17.3
2.2.1.C
consideration of an entry price in measuring a liability or
no established market, Ch. 45, 2.2.1.A
entity’s own equity not held as an asset, Ch. 14, 11.2.2.B
financial liabilities, Ch. 45, 2.2.2
fair value of a liability or an entity’s own equity, measuring
illustrative examples, Ch. 45, 2.2.5
when quoted prices for the liability or equity instruments
exchanges of non-cash financial assets, Ch. 45, 2.2.5.A
are not available, Ch. 14, 11.2
settlement date accounting, Ch. 45, 2.2.
4
liabilities or an entity’s own equity not held by other parties as
trade date accounting, Ch. 45, 2.2.3
assets, Ch. 14, 11.2.2
Recompletions, oil and gas wells, Ch. 39, 15.2
liabilities or an entity’s own equity that are held by other
parties as assets, Ch. 14, 11.2.1
Reconciliation on first-time adoption, Ch. 5, 6.3.1.A
Index
195
inclusion of IFRS 1 reconciliations by cross reference, Ch. 5,
entities that are joint ventures of the same third party,
6.3.4
Ch. 35, 2.2.4
line-by-line reconciliations, Ch. 5, 6.3.2
joint operations (IFRS 11), Ch. 35, 2.2.3.A
Recoverable amount, Ch. 20, 5. See also IAS 36.
entities that are joint ventures and associates of the same
Redesignation of financial assets, Ch. 51, 8.4; Ch. 52, 17.5
third entity, Ch. 35, 2.2.5
entities that are members of same group, Ch. 35, 2.2.2
Redeterminations, Ch. 39, 15.4.2
entities under control/joint control of certain persons/close
Registration, Evaluation, Authorisation and Restriction of
members of their family, Ch. 35, 2.2.7
Chemicals (REACH), Ch. 17, 11.4
entities under significant influence of certain persons/close
Regression analysis, Ch. 49, 6.4.1
members of their family, Ch. 35, 2.2.8
Regular way contracts, derivatives, Ch. 42, 3.3
government-related entities, Ch. 35, 2.2.10
‘Regular way’ transactions, Ch. 45, 2.2,
persons/close members of a person’s family that are related
financial assets: general requirements, Ch. 45, 2.2.1
parties, Ch. 35, 2.2.1
contracts not settled according to marketplace convention:
control, Ch. 35, 2.2.1.A
derivatives, Ch. 45, 2.2.1.B
joint control, Ch. 35, 2.2.1.B
exercise of a derivative, Ch. 45, 2.2.1.D
key management personnel, Ch. 35, 2.2.1.D
multiple active markets: settlement provisions, Ch. 45,
significant influence, Ch. 35, 2.2.1.C
2.2.1.C
post-employment benefit plans, Ch. 35, 2.2.6
no established market, Ch. 45, 2.2.1.A
parties that are not related parties, Ch. 35, 2.3
financial liabilities, Ch. 45, 2.2.2
post-employment benefits, Ch. 35, 2.6.3
initial measurement, Ch. 45, 3.6
related party issue, Ch. 35, 1.1
illustrative examples, Ch. 45, 2.2.5
reporting entity part of a group, Ch. 35, 2.6.7
settlement date accounting, Ch. 45, 2.2.4
share-based payment transactions, Ch. 35, 2.6.6
subsequent measurement exceptions, Ch. 46, 2.9.2
short-term employee benefits, Ch. 35, 2.6.2
trade date accounting, Ch. 45, 2.2.3
International GAAP® 2019: Generally Accepted Accounting Practice under International Financial Reporting Standards Page 998
