MyCIMA

IAS 39

  • can someone please explain the second part of this question to me
    Discussion topic
    30/04/2012 - 10:47pm
    (F1 Financial Operations, Chapter 22, Question 8, Page 475) CR issued 200,000 $10 redeemable 5% preference shares at par on 1April 2005. The shares were redeemable on 31 March 2010 at a premium of15%. Issue cost amounted to 192,800. Requirements: 1. Calculate the total finance cost over the life of the preference share. 2. Calculate the annual charge to profit or loss for finance expense, as required by IAS 39 Financial Instruments: Recognition and Measurement, for each of the five years 2006 to 2010.
  • Financial Instruments : Impairment
    Discussion topic
    02/02/2011 - 3:28pm

    The International Accounting Standards Board (IASB) has published supplementary guidance on the impairment of financial instruments as part of its IAS 39 replacement project.  These proposals, which are issued jointly with the US Financial Accounting Standards Board (FASB), aim to develop a common approach with the FASB for an expected loss impairment model for open portfolios of financial assets measured at amortised cost.

  • The end for International Standards?
    Blog Entry
    13/11/2009 - 3:13pm
     

    We seem to be in the middle of a concerted European attack on the IASB which may lead to the demise of international standards.  What is the background to this and is it justified?

  • Malaysia hosts new regional group and IASB considers impairment
    Blog Entry
    06/11/2009 - 12:30pm

    So far the development of international standards seems to have been dominated by the US and Europe with each complaining from time to time that the other is seeking undue influence.  Yes the IASB itself has members from all over the globe but when pressure is applied to the Board it invariably seems to come from either the European Union or the US authorities via convergence discussions with FASB.  Now it seems that there will be a third leg to the stool:  Asia-Oceania.

  • Accounting for Financial Instruments - New Proposals
    Blog Entry
    30/07/2009 - 3:53pm

    The IASB has set itself the ambitious task of revising IAS 39, the troublesome financial instruments standard, by the end of the year.  Well when I say ‘set itself’ we should recognise that it came under considerable pressure from G20 leaders, the EU, the US Congress and others to accept this onerous task.  So far the project seems on track with the latest exposure draft on classification and measurement issued in July.

  • Embedded derivatives
    Discussion topic
    14/07/2009 - 12:00pm
    I'm looking for someone with practical experience referring to embedded derivatives built in host contracts. Main problematic issue is classification if currency used is other than functional currency of either party to the contract – talking for example about Sri Lanka, Botswana, Liberia having EUR / USD contracts.