IFRS 8 – Operating Segments
Scope IFRS 8 applies to the separate or individual financial statements of an entity (and to the consolidated financial statements of a group with a parent): However, when both separate and consolidated financial statements for the parent are presented in a single financial report, segment information need be shown only on the basis of the […]
IFRS 7 – Financial Instruments: Disclosures
Overview IFRS 7 Financial Instruments: Disclosures require a business to disclose information on the financial instruments’ relevance to the entity and the type and extent of the risks associated with those financial instruments, both qualitatively and quantitatively. The main objective of IFRS 7 is to provide users of financial statements with relevant and reliable information […]
Treatment of Goodwill: IFRS v. US GAAP
When it comes to accounting principles, the treatment of goodwill can vary significantly between International Financial Reporting Standards (IFRS) and United States Generally Accepted Accounting Principles (US GAAP). In this blog post, we will explore the differences in the treatment of Goodwill under IFRS and GAAP and the implications for financial reporting. Also Read: Write […]
What are mutual fund loads? Meaning and Types
Mutual fund loads are sales charges or commissions levied on investors when they purchase or sell shares in certain types of mutual funds. The total charges for the fund are called the load. Fund loads are generally paid when you purchase or redeem shares, but they may be applied at other times, including redemption before […]
5 Helpful Tips For Getting Rid Of Debt
Debt can feel like a heavy weight on your shoulders. It can limit your financial freedom and cause a lot of stress. But you don’t have to stay stuck! Taking control of your debt is empowering, and it’s definitely achievable. Going into debt is that you won’t find out that debt is a trap until […]
What is zero-based budgeting? Meaning and Explanation
Zero-based budgeting, or ZBB, is a strategic approach to financial planning that expects each expense to be justified starting from zero. Unlike the traditional method of budgeting where adjustments are made incrementally on previous budgets, in ZBB each budgeting cycle develops a new financial baseline. Such methodology ensures resource allocation according to requirement and prioritization […]
IFRS 6 – Exploration for and Evaluation of Mineral Resources
IFRS 6 outlines the accounting treatment for the mineral resource exploration and evaluation, for mining, oil, and gas companies to recognize related expenses. The standard permits entities to use their current accounting policies temporarily while establishing principles for treating exploration costs as assets or expenses. It is important for natural resources companies to understand IFRS […]
IFRS 5 – Non-current Assets Held for Sale and Discontinued Operations
IFRS 5 offers guidance on the classification, measurement, and disclosure of non-current assets held for sale and discontinued operations. The standard ensures that assets to be sold are disclosed separately in financial reports and measured at the lower of their carrying amount or fair value less costs to sell. Moreover, IFRS 5 also prescribes detailed […]
Meaning and Objectives of Preparing Cash Flow Statement
Cash is critical to a business’s economic life. A business requires cash to pay suppliers, incur daily expenses, and pay salaries, wages, interest, and dividends, among other things. Indeed, capital is to a commercial enterprise what blood is to a physical organism. As a result, it is critical for a firm to keep a healthy […]
What are Ind-ASs and When They Are Applicable?
What is an Ind-AS? An IND-AS is an accounting standard prepared in India in compliance with IFRS. IND AS is currently tracked by all listed firms and those unlisted companies whose net worth is more than equal to 250 crores. Indian Accounting Standards (abbreviated as Ind-AS) in India accounting standards were established under the supervision […]