IAS 38 and IAS 39: Difference between pages

From ACT Wiki
(Difference between pages)
Jump to navigationJump to search
imported>Doug Williamson
(Expand definition.)
 
imported>Doug Williamson
(Remove redundant link.)
 
Line 1: Line 1:
International Accounting Standard 38, dealing with intangible assets.
International Accounting Standard 39, dealing with financial instruments: recognition and measurement.


Issued by the International Accounting Standards Board.
IAS 39 was largely superseded by the revised IFRS 9 'Financial Instruments' which came into full effect from January 2018.  
 
IAS 38 requires an entity to recognise an intangible asset, whether purchased or self-created (at cost) if, and only if:
 
*It is probable that the future economic benefits that are attributable to the asset will flow to the entity; and
*The cost of the asset can be measured reliably.
 
 
The criteria for recognising internal development costs as (self-created) assets under IAS 38 include all of:
 
#The technical '''feasibility''' of completing the intangible asset (so that it will be available for use or sale); and
#'''Intention''' to complete and use or sell the asset; and
#'''Ability''' to use or sell the asset; and
#Existence of a '''market''' or, if to be used internally, the '''usefulness''' of the asset; and
#Availability of '''adequate''' technical, financial, and other '''resources''' to complete the asset.
 
 
If any of these criteria is '''not''' met, then the expenditure is a cost, and not an asset.




== See also ==
== See also ==
* [[Capitalise]]
* [[ALFV]]
* [[Development]]
* [[Available-for-sale]]
* [[Expense]]
* [[FRS 102]]
* [[FRS 102]]
* [[IAS 16]]
* [[FRS 103]]
* [[Intangible assets]]
* [[Hedge accounting]]
* [[Hedge effectiveness]]
* [[Held for trading]]
* [[Held-to-maturity]]
* [[HFT]]
* [[IAS 18]]
* [[IAS 32]]
* [[IFRS  9]]
* [[IFRS 9 hedge accounting reforms: a closer reflection of risk management?]]
* [[International Financial Reporting Standards]]
* [[International Financial Reporting Standards]]
* [[Loans and receivables]]
* [[MCT]]
* [[Recognition]]
* [[Recognition]]
* [[Research & development]]
== External link ==
*[https://www.iasplus.com/en/standards/ias/ias38 IAS 38 - IAS Plus]


[[Category:Accounting,_tax_and_regulation]]
[[Category:Accounting,_tax_and_regulation]]
[[Category:Compliance_and_audit]]
[[Category:Compliance_and_audit]]

Revision as of 22:08, 8 January 2018

International Accounting Standard 39, dealing with financial instruments: recognition and measurement.

IAS 39 was largely superseded by the revised IFRS 9 'Financial Instruments' which came into full effect from January 2018.


See also

Retrieved from ‘https://wiki.treasurers.org/w/index.php?title=IAS_38&oldid=25437’