many scholars has raised doubts and speculation of this ideology of accounting standardisation stirred up by the adoption of the controversial International Accounting Standards (IAS) 39 or in Australia, the Australian Accounting Standards Board (AASB) 139: Financial Instruments: Recognition and Measurement which has been subject to much criticism (Armstrong, Barth, Jagalinzer, & Riedl, 2008; Barth, Landsman, & Lang, 2006). Due to this uproar, the IASB has decided to review the standards
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activity based costing Activity based costing system is the costing system that it will based on the occurred of events to assign to the products and services that involved in the process of providing the product or service. So firstly, it will identify various activities performed in a firm and then, allocated the overhead costs to activities using multiple cost drives and allocate the overhead costs to products and services based on the amount of it consumed of these activities and resources
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Australian Accounting Standards Board. (2004). AASB 139 „Financial Instruments: Recognition and measurement‟. Vic., Australia: AASB Australian Accounting Standards Board. (2009). AASB 9 „Financial Instruments. Vic., Australia: AASB Bentley, P. A., Franklin, M. A. (2013). Which international cultures favor disclosure of risk. International Journal of Business, Accounting, & Finance. 7(2), 62-76. Institute of Chartered Accountants Australia. (2012). AASB 9 Financial instruments. Retrieved from
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Accounting Standards Board (IASB) first issued IFRS 9 Financial Instruments in November 2009, which dealt with the classification of financial assets and aspects of their measurement (Anna-Maija Lantto, Petri Sahlstrom, 2009). Consequently, the AASB first issued AASB 9 Financial Instruments in December 2009. After that, the IASB re-issued IFRS 9 in October 2010, setting out requirements for the classification, and aspects of measurement, recognition and derecognition of both financial assets and financial
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Compiled AASB Standard AASB 139 Financial Instruments: Recognition and Measurement This compiled Standard applies to annual reporting periods beginning on or after 1 January 2011 but before 1 January 2013. Early application is permitted only for annual reporting periods ending on or after 30 June 2009. It incorporates relevant amendments made up to and including 27 October 2010. Prepared on 26 November 2010 by the staff of the Australian Accounting Standards Board. Obtaining Copies of
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Accounting Standards Board (IASB) first issued IFRS 9 Financial Instruments in November 2009, which dealt with the classification of financial assets and aspects of their measurement (Anna-Maija Lantto, Petri Sahlstrom, 2009). Consequently, the AASB first issued AASB 9 Financial Instruments in December 2009. After that, the IASB re-issued IFRS 9 in October 2010, setting out requirements for the classification, and aspects of measurement, recognition and derecognition of both financial assets and financial
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AFW3050 Tutorial 5 Solutions Chapter 15 15.1 AASB 132 Financial Instruments: Disclosure and Presentation defines a financial instrument as any contract that gives rise to both a financial asset of one entity and a financial liability or equity instrument of another entity. Such a definition, in turn, generates a need to define a financial asset; a financial liability; and, an equity instrument. According to paragraph 11 of AASB 132, ‘financial asset’ means any asset that is: (a) cash; (b) an equity
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Introduction The IASB has decided to review the standards for financial instruments formulating a new financial instrument standard, IFRS 9 AASB 9 introduces new requirements for classifying and measuring financial assets, as follows: * Debt instruments meeting both a 'business model' test and a 'cash flow characteristics' test are measured at amortised cost (the use of fair value is optional in some limited circumstances) * Investments in equity instruments can be designated as 'fair
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expenses. INTRODUCTION The conceptual framework sets out the concepts underlying the preparation and presentation of general-purpose financial reports. The accounting standards, rules and guidance applicable under AASB 101 ‘Presentation of Financial Statements’ and AASB 108 ‘Accounting Policies, Changes in Accounting Estimates and Errors’ are based on that framework. If there is a conflict between the ‘Framework’ and an Australian equivalent to an International Financial Reporting Standard (IFRS)
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16.2 There is a general requirement that unless a specific accounting standard requires an item of income or expense to be recorded directly in equity, the expense or income amount is to be included in profit or loss. Specifically, paragraph 88 of AASB 101 states: An entity shall recognise all items of income and expense in a period in profit or loss unless an Australian Accounting Standard requires or permits otherwise. As an example of one class of items that does not go to profit or loss we
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