Applying IFRS / IAS

A training program that will provide you with a completely up to date practical analysis of the complex requirements of International Financial Reporting Standards. Through class discussions, numerous examples, analysis of financial statements and brief cases you will learn to: Analyze and interpret IFRS financial statements Learn the requirements for the transition from national GAAP to IFRS Apply newly applicable requirements for financial instruments, disclosures, and other recently revised IFRS/IAS Be prepared to implement upcoming new requirements for future reporting periods and keep up-to-date on other proposed changes Receive information on the latest developments and anticipated IFRS amendments Become familiar with information sources in order to maintain up-to-date knowledge Understand the progress to date on the convergence of local standards to IFRS throughout the world Put theory into practice with company case study exercises
Day 1 Introduction to IFRS Brief background of IFRS history and development Currently issued pronouncements and their effective dates -Standards: IAS and IFRS -Interpretations: SIC and IFRIC -Update on NEW IFRS 13 Fair Value Measurement The IFRS Framework: elements, recognition and measurement, including NEW changes Applying the hierarchy of international standards Current status of global convergence – worldwide IFRS application U.S. convergence projects and their impact on IFRS How to research and stay up to date on IFRS Case Study: Applying the IFRS Framework Principles in Real-world Situations Financial Statements and Presentation Issues Presentation IAS 1 Presentation of Financial Statements Statement of Financial Position Statement of Comprehensive Income, including NEW requirements Statement of Changes in Equity Upcoming changes and the financial statement project IAS 7 Statement of Cash Flows IFRS 5 Non-current Assets Held for Sale and Discontinued Operations Policies and Adjustments IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors IAS 10 Events after the Reporting Period Other Disclosure and Reporting Issues IFRS 8 Operating Segments Case Study: Review the New Disclosure and Presentation Requirements using Real World Financial Statements Determine the Treatment of Events after the Reporting Period Day 2 Revenue Recognition IAS 18 Revenue Definitions Revenue measurement, including gross vs. net reporting Exchange transactions (barter) Revenue from sale of goods, including recent recognition issues Revenue from services – recognition criteria and applications Revenue from interest, dividends and royalties Upcoming changes and the revenue recognition project Case Study: Practical Revenue Recognition and Application Scenarios Inventory IAS 2 Inventory Definition Inventory measurement – determining cost Allocating overheads Write-downs to net realizable value and reversal considerations Tangible and Intangible Assets IAS 16 Property, Plant and Equipment IAS 23 Borrowing Costs IAS 38 Intangible Assets IAS 40 Investment Property IFRS 5 Non-current Assets Held for Sale and Discontinued Operations -Initial recognition and measurement, including asset retirement costs -Treatment of subsequent expenditures -Valuation methods -Depreciation, including composite asset accounting -Assets held for sale -Interest capitalization -Investment property identification and accounting, including alternatives -Treatment of internally generated intangible assets, including exceptions -Accounting for research and development Case Study: Property, Plant and Equipment – Recognition, Measurement and Revaluation Accounting for Asset Retirement Obligations Investment Property – Recognition, Valuation and Changes in Use Intangible Assets –Recognition, Measurement, and Subsequent Expenditures Day 3 Impairment of Tangible and Intangible Assets IAS 36 Impairment of Assets Identifying an asset that may be impaired Determining the recoverable amount Measuring and recognizing an impairment loss Identifying cash-generating units (CGU) and assigning assets Allocating losses to individual assets Reversing impairment losses Case Study: Evaluating the Impairment Testing of Goodwill and Determining Whether Impairment Should be Recognized Provisions and Contingencies IAS 37 Provisions, Contingent Liabilities and Contingent Assets Understanding liabilities, contingencies and commitments Recognizing and measuring provisions, including changes in estimate Applying contingency disclosure requirements Upcoming changes and the non-financial liabilities project Case Study: Distinguishing Between Liabilities, Provisions and Contingent Liabilities Applying Recognition and Measurement Concepts to Determine Appropriate Accounting Treatment Calculating the Correct Amount of Provision to Record in Various Situations Employee Benefits IAS 19: Employee Benefits -Short-term employee benefits -Post-employment benefits – identifying plan types -Accounting for defined contribution plans -Accounting for defined benefit plans, including NEW requirements -Recognizing actuarial gains & losses, including the alternative treatments -Financial statement recognition and requirements Case Study: Defined Benefit Plan Accounting Leases IAS 17 Leases Applying the IFRS definition to identify lease arrangements Classifying leases Accounting for lessee finance leases Accounting for lessee operating leases Accounting for lessor finance leases Accounting for lessor operating leases Operating lease incentives Upcoming changes and the lease project Case Study: Identifying, Classifying and Accounting for Leases Day 4 Financial Instruments IAS 32 Financial Instruments: Presentation IAS 39 Financial Instruments: Recognition and Measurement IFRS 7 Financial Instruments: Disclosures Overview of NEW IFRS 9 Financial Instruments: Classification and Measurement -Classifying financial instruments -Recognizing and measuring financial instruments, both initially and subsequently -Determining fair value -Applying reclassification rules -Derecognizing financial assets and liabilities -Recognizing, calculating and reversing impairment losses -Accounting for derivatives -Identifying and classifying debt and equity instruments -Meeting the disclosure requirements – IFRS 7 requirements Case Study: Accounting for Financial Instruments – Classification Identifying Liabilities vs. Equity Applying the De-recognition Model Recognizing and Calculating Impairment Applying the Effective Interest Method: Transaction Costs, Amortization and Premiums/Discounts Consolidations IAS 27: Consolidated and Separate Financial Statements SIC 12: Consolidation – Special Purpose Entities -Consolidated financial statement requirements, including exemptions -Consolidation procedures -Non-controlling interest presentation -Accounting in separate financial statements -NEW IFRS 10 Consolidated Financial Statements -NEW IFRS 12 Disclosure of Interests in Other Entities Case Study: Special Purpose Entity Consolidation Accounting for Associates IAS 28: Investments in Associates -Identifying significant interest and associates -Accounting requirements and exemptions -Application of the equity method Case Study: Calculating Equity Method Balances Accounting for Joint Ventures IAS 31: Interests in Joint Ventures -Identifying joint ventures -Joint venture types -Accounting and presentation for each type of joint venture -NEW IFRS 11 Joint Arrangements Foreign Currency Issues IAS 21 The Effects of Changes in Foreign Exchange Rates Definitions Determining the functional currency Reporting foreign currency transactions and recognizing exchange differences Translating foreign entity financial statements Case Study: Determining Functional Currency Identifying Monetary Items Measuring and Recognizing Exchange Gains and Losses Translating Foreign Entity Financial Statements