We will further investigate the interaction and interconnection among various standards related to the same transaction. Each standard affects the transaction from its own viewpoint. Example Assume Momma enter on 1/1/2019, into a 6 year lease contract with Elmor concerning …
Athens, June 2018 Chris Ragkavas, BA, MA, FCCA, CGMA IFRS technical expert, financial consultant. Allocating the transaction price among the POs When a contract includes more than one POs, the total agreed consideration may be different to the sum of …
Athens, June 2018 Chris Ragkavas, BA, MA, FCCA, CGMA IFRS technical expert, financial consultant. Determining the transaction price The transaction price is the amount of consideration in a contract to which an entity expects to be entitled in exchange for …
Athens, June 2018 Chris Ragkavas, BA, MA, FCCA, CGMA IFRS technical expert, financial consultant. When and how, is revenue recognized? Revenue is recognized when POs are satisfied. This occurs, either: 1. Over time, i.e. gradually; or, 2. At a point …
Athens, June 2018 Chris Ragkavas, BA, MA, FCCA, CGMA IFRS technical expert, financial consultant Performance obligations are contractual commitments that the reporting entity must comply with, in order to be entitled to consideration. Even if a good or service is …
Athens, February 2018 Chris Ragkavas, BA, MA, FCCA, CGMA IFRS technical expert, financial consultant. Closing remarks IFRS 3 is applicable only when the acquirer indeed acquires a business as defined by the standard. In all other cases, the acquisition is …
Athens, February 2018 Chris Ragkavas, BA, MA, FCCA, CGMA IFRS technical expert, financial consultant. Finalization of provisional values Business combinations usually occur for strategic purposes, e.g. for the achievement of economies of scale, in order to diversify operations, customer portfolio, …
IFRS 3, Business combinations – A survival guide to the essentials of takeovers, Part IV Read More »
Athens, February 2018 Chris Ragkavas, BA, MA, FCCA, CGMA IFRS technical expert, financial consultant. Sometimes takeovers occur in stages. Investors may not wish to commit outright to a majority shareholding in an investee, but want to “test the waters” for …
Athens, February 2018 Chris Ragkavas, BA, MA, FCCA, CGMA IFRS technical expert, financial consultant. Assuming A would value NCI in B at its proportionate value of B’s NAV on the date of acquisition. Goodwill calculation would change to: Consideration and …
IFRS 3, Business combinations – A survival guide to the essentials of takeovers, Part II Read More »
Athens, February 2018 Chris Ragkavas, BA, MA, FCCA, CGMA IFRS technical expert, financial consultant “Business combinations” is the simple technical term for acquisitions. In each acquisition we need to identify: The parties involved, i.e. the investor obtaining control of the …
IFRS 3, Business combinations – A survival guide to the essentials of takeovers, Part I Read More »
