The three projects in the work plan by IFRS are as follow:
IFRS 9 Financial Instruments (replacement of IAS 39)
This project has been divided in three phases:
1- Classification and Measurement
The first publication of this project was in November 2009, was based on requirements for financial assets. In October 2010 were added requirements for financial liabilities. The majority of requirements for financial liabilities not changed from IFRS 9. Nevertheless, there were changes on the fair value option affecting the issue of own credit risk. There is a time frame to enforce this new standard, which is January 1, 2015, according IASB would not be possible, because there is not enough time for companies to prepare and apply for new standard, due to impairment phase is not yet completed by the IFRS. The board on November 15, 2011 considered makes limited modifications to IFRS 9, but also on November 28, 2012 the IASB issued draft classification and measurement where mention limited amendments to IFRS 9. IASB finalized in February 2014, all regarding on limited amendments to the classification and measurement of IFRS 9. This standard would be requiring for entities to be apply on or after January 1, 2015, according IASB. 2- Impairment Methodology
The purpose of this step is to enhance financial statements for users, through improves in the amortized cost measurement, basically focused in the transparency for losses on loans and the creditworthiness of financial assets. 3- Hedge Accounting
The purpose of this step is create an approach that allow entities reflect dynamic risk management activities, as well as understanding such activities through improving helpfulness of the financial information. But also, operational feasibility has been considered into this approach.
Amendments to IAS 1
Basically the aim of this project is focused to presentation of financial statements to alleviate some issues that has been identified with disclosure in financial...
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