Financial Reporting for Unlisted Companies in the UK and Republic of Ireland, 2nd Edition

1: The Development of UK GAAP
Development of current UK GAAP
The EU Accounting Directive
Structure of current UK GAAP
The FRC triennial review
Small entities
Effects of major IFRS changes
Summary - What is different from the previous UK GAAP?
2: The Differences Between FRS 102 and previous UK GAAP
Introduction
Terminology changes
Accounting changes
3: The Concepts and Pervasive Principles
Introduction
Objective of financial statements
The qualitative characteristics
The elements of financial statements
Recogition and measurement of items within the financial statements
Subsequent measurement of items within the financial statements Offsetting
Going concern
Fair value guidance
Summary - What is different from the previous UK GAAP?
4: Financial Statement Presentation
Introduction
True and fair view
Important considerations
Identification of the financial statements
Discontinued operations
Additional legal requirements
Interim financial reports
Summary - What is different from the previous UK GAAP?
5: Statement of Financial Position (balance sheet)
Introduction
Format and content
Specific issues
Summary - What is different from the previous UK GAAP?
6: Statement of Comprehensive Income and Income Statement
Introduction and scope
Format options
General requirements
The two-statement approach
The single statement approach
Summary - What is different from the previous UK GAAP?
7: Statement of Changes in Equity and Statement of Income and Retained Earnings
Scope
Statement of changes in equity
Statement of income and retained earnings
Summary - What is different from the previous UK GAAP?
8: Statement of Cash Flows
Introduction
Definition
Preparation of the statement of cash flows
Summary - What is different from the previous UK GAAP?
9: Consolidated and Separate Financial Statements
Introduction and scope
Definitions
Requirement to present consolidated financial statements
Exclusions from consolidation
Special purpose entities
Consolidation procedures
Non-controlling interests
Measurement
Acquisition of subsidiaires and shares in subsidiaries
Disposal of shares in subsidiaries
Group reconstructions
Other issues
Disclosure requirements
Separate financial statements
Summary - What is different from the previous UK GAAP?
10: Accounting Policies, Estimates and Errors
Introduction
Definition
Disclosure requirements
Judgements, estimates and uncertainties
Summary - What is different from the previous UK GAAP?
11: Financial Instruments - Introduction
Introduction
Summary - What is different from the previous UK GAAP?
12: Accounting for Basic Financial Instruments
Introduction
Initial recognition of financial assets and financial liabilities
Initial measurement of financial assets and financial liabilities
Subsequent measurement: debt instruments
Impairment
Subsequent measurement: investments in shares
Derecognition of financial assets and financial liabilities
Basic financial instruments: further considerations
Offsetting
Disclosure requirements
Summary - What is different from the previous UK GAAP?
13: Complex Financial Instruments
Introduction
Examples of non-basic financial instruments
Initial recognition
Subsequent measurement
Determining fair value
Derecognition of financial assets and financial liabilities
Impairment
Offsetting
Hedge accounting
Disclosure requirements
Summary - What is different from the previous UK GAAP?
14: Inventories
Introduction and scope
Definitions
General principles
Summary - What is different from the previous UK GAAP?
15: Associates and Joint Ventures
Scope
Definition of an associate
Equity accounting an associate
Individual financial statements: investor is a parent
Individual financial statements: investor is not a parent
Associate held as part of an investment portfolio
Presentation - associates
Disclosure requirements - associates
Definition of a joint venture
Jointly controlled operation
Jointly controlled assets
Jointly controlled entities
Individual financial statements
Equity accounting a joint venture
Transactions between a venturer and a joint venture
Investor who does not have joint control
Disclosure requirements - joint ventures
Summary - What is different from the previous UK GAAP?
16: Investment Property
Introduction and scope
Definition of an investment property
Initial recognition
Subsequent measurement
Transfers to or from investment property
Group situations
More complex situations
Disclosure requirements
Summary - What is different from the previous UK GAAP?
17: Property, Plant and Equipment
Introduction
Recognition
Initial measurement
Subsequent measurement
Depreciation
Impairment
Derecognition
Disclosure requirements
Specific considerations
Summary - What is different from the previous UK GAAP?
18: Intangible Assets Other than Goodwill
Introduction and scope
Initial recognition
Initial measurement
Internally generated intangible assets
Subsequent measurement
Amortisation
Derecognition
Software and website costs
Disclosure requirements
Summary - What is different from the previous UK GAAP?
19: Business Combinations and Goodwill
Scope
Business combinations
Purchase method of accounting
Allocating the purchase price
Goodwill
Group reconstructions
Disclosure requirements - purchase method
Disclosure requirements - group reconstructions
Summary - What is different from the previous UK GAAP?
20: Leases
Introduction and scope
Classification
Substance over form
Lessee accounting - finance leases
Lessee accounting - operating leases
Lessor accounting - finance leases
Lessor accounting - operating leases
Manufacturers and dealers
Investment properties
Disclosure requirements
Summary - What is different from the previous UK GAAP?
21: Sale and Leaseback Transactions
Introduction
Sale and leaseback as a finance lease
Sale and leaseback as an operating lease
Disclosure requirements
Summary - What is different from the previous UK GAAP?
22: Provisions and Contingencies
Introduction
Definitions
Recognition in the financial statements
Estimating provisions
Discounting
Subsequent measurement
Contingent assets
Contingent liabilities
Onerous contracts
Future operating losses
Disclosure requirements
Summary - What is different from the previous UK GAAP?
23: Liabilities and Equity
Introduction
Financial liabilities
Equity
Acquisition of a company's own shares
Summary - What is different from the previous UK GAAP?
24: Revenue
Introduction
Basic measurement principles
Exchanges of goods and services
Customer loyalty awards
Construction contracts
Specific issues relating to revenue recognition
Summary - What is different from the previous UK GAAP?
25: Government Grants
Introduction
Definitions
Recognition and measurement
Summary - What is different from the previous UK GAAP?
26: Borrowing Costs
Introduction
Definitions
Recognition
Summary - What is different from the previous UK GAAP?
27: Share-based Payment
Introduction
Scope
Recognition
Vesting conditions
Measurement principles
Modifying the terms and conditions
Share-based payment transactions with cash alternatives
Group plans
Government-mandated plans
Disclosures
Summary - What is different from the previous UK GAAP?
28: Impairment of Assets
Introduction
Impairment of inventory
Impairment of assets other than inventory
Reversal of impairment losses
Disclosure requirements
Summary - What is different from the previous UK GAAP?
29: Employee Benefits
Introduction
Recognition and measurement
Examples of short-term employee benefits
Post-employment benefits
Introductions, changes, curtailments and settlements
Defined benefit pension plan assets
Reimbursements
Other long-term employee benefits
Termination benefits
Group plans
Disclosures
Summary - What is different from the previous UK GAAP?
30: Taxation
Introduction
Current tax
Deferred tax
Timing difference plus approach
Permanent timing differences
Revaluations of non-monetary assets
Business combinations
Unremitted earnings
Deferred tax assets
Defined benefit pension schemes
Share-based payment
Disclosure requirements
Summary - What is different from the previous UK GAAP?
31: Foreign Currency Translation
Introduction and scope
Presentation currency
Functional currency
Reporting individual foreign currency transactions
Foreign operations which are an extension of the reporting entity
Foreign operations which are autonomous
Intra-group transactions
Net investment in a foreign operation
Disclosure requirements
Summary - What is different from the previous UK GAAP?
32: Events after the End of the Reporting Period
Introduction
Definitions
Adjusting events
Non-adjusting events
Dividends
Disclosure requirements
Summary - What is different from the previous UK GAAP?
33: Related Parties
Introduction
Scope
Definitions
Examples of related party transactions
Disclosure requirements
Summary - What is different from the previous UK GAAP?
34: Specialised Activities
Introduction
Agriculture
Extractive industries
Service concession arrangements
Financial institutions
Retirement benefit plans
Heritage assets
Public benefit entities
Other entities
Summary - What is different from the previous UK GAAP?
35: Reduced Disclosure Framework
Introduction and scope
Reduced disclosures under FRS 102
Reduced disclosures under FRS 101
Summary - What is different from the previous UK GAAP?
36: First-time Adoption of FRS 102
Introduction
Procedures at the date of transition
Adjustments at the date of transition
Exceptions from retrospective application
Exemptions from retrospective application
Disclosure requirements
Summary - What is different from the previous UK GAAP?