The Handbook to IFRS Transition and to IFRS U.S. GAAP Dual Reporting

Preface xxxiii

About the Author xxxv

1 Introduction and Scope of Book 1

1.1 Nature of Accounting Literature and Pertinent Pronouncements 1

1.2 Significance of the IFRS Transition 1

1.3 IFRS Transition Scenario 3

1.4 Scope of the Book 6

2 IFRS First-Time Adoption Requirements and Interaction with U.S. GAAP and SEC Rules and Regulations 11

2.1 Chapter Preview 11

2.2 IFRS 1 Amendments and Effective Dates 11

2.3 Rationale of IFRS 1 12

2.4 Accounting Steps in Migrating to IFRSs 18

2.5 First IFRS Financial Statements 20

2.6 Entities Affected by IFRS 1 28

2.7 Compliance with IFRSs 29

2.8 Transition Date 37

2.9 Accounting Policies 37

2.10 The Impact of Alternative Bases of Reporting 46

2.11 Accounting Estimates 54

2.12 The Opening IFRS Statement of Financial Position 61

2.13 Comparative Information 67

2.14 Exceptions and Exemptions in the Context of Comparability 80

2.15 Interim Reporting 87

2.16 Reconciliations and Disclosures 95

2.17 Exceptions to the Retrospective Application of Other IFRSs 101

2.18 Exemption for Past Business Combinations 126

2.19 Exemptions from Other IFRSs 149

2.20 Short-Term Exemptions from Other IFRSs 205

2.21 Implications for Financial Statement Preparers 210

3 Dual Reporting for The Statement of Financial Position 215

3.1 Chapter Preview 215

3.2 Context of the Statement of Financial Position 216

3.3 Structure of the Statement of Financial Position 220

3.4 Certain Other Structural Elements of the Statement of Financial Position 234

3.5 Captions and Line Items 241

3.6 Implications for Financial Statement Preparers 344

4 Dual Reporting for the Statements of Income 347

4.1 Chapter Preview 347

4.2 Different Forms of Statements of Income 348

4.3 Context of Statements 357

4.4 Structure of the Statement of Income 363

4.5 Aggregations and Subtotals 366

4.6 Analysis of Expenses 440

4.7 Captions and Line Items 450

4.8 Implications for Financial Statement Preparers 516

5 Dual Reporting for the Statement of Cash Flows 521

5.1 Chapter Preview 521

5.2 Context of the Statement of Cash Flows 522

5.3 Cash and Cash Equivalents 527

5.4 Direct versus IndirectMethod 536

5.5 Other Structural Elements of the Statement of Cash Flows 547

5.6 Special Issues 597

5.7 Captions and Line Items 636

5.8 Implications for Financial Statement Preparers 646

6 Dual Reporting for the Statement of Changes in Equity 655

6.1 Chapter Preview 655

6.2 Context of the Statement of Changes in Equity 656

6.3 Different Concepts of the Statement of Changes in Equity 664

6.4 The Structure of the Statement of Changes in Equity 669

6.5 Specific Elements 696

6.6 Captions and Line Items 703

6.7 Implications for Financial Statement Preparers 727

7 Dual Reporting for Interim Financial Statement 731

7.1 Chapter Preview 731

7.2 Accounting Principles for Interim Financial Statements 732

7.3 Types of Interim Financial Information 742

7.4 Reporting Entities 744

7.5 Approaches to Interim Reporting 752

7.6 Bases of Accounting in Interim Financial Statements 755

7.7 Periods to be Covered 758

7.8 Frequency of Reporting 763

7.9 Reporting Deadlines 763

7.10 Audited versus Unaudited 764

7.11 Set of Interim Financial Statements 765

7.12 Condensed Format of Interim Financial Statements 770

7.13 Implications for Financial Statement Preparers 777

Key Elements and Decisions 777

Other Control Points 778

Table of Exhibits 781

Bibliography 785

Index 789