Euromoney Audit Training

A training program that will provide you with a completely up to date practical analysis of the complex requirements of International Financial Reporting Standards. Through class discussions, numerous examples, analysis of financial statements and brief cases you will learn to:

·         Analyze and interpret IFRS financial statements
·         Learn the requirements for the transition from national GAAP to IFRS
·         Apply newly applicable requirements for financial instruments, disclosures, and other recently revised IFRS/IAS
·         Be prepared to implement upcoming new requirements for future reporting periods and keep up-to-date on other proposed changes
·         Receive information on the latest developments and anticipated IFRS amendments
·         Become familiar with information sources in order to maintain up-to-date knowledge
·         Understand the progress to date on the convergence of local standards to IFRS throughout the world
·         Put theory into practice with company case study exercises

 

Day 1

Introduction to IFRS

• Brief background of IFRS history and development

• Currently issued pronouncements and their effective dates

– Standards: IAS and IFRS

– Interpretations: SIC and IFRIC

–Update on NEW IFRS 13 Fair Value Measurement

• The IFRS Framework: elements, recognition and measurement, including NEW changes

• Applying the hierarchy of international standards

• Current status of global convergence – worldwide IFRS application

• U.S. convergence projects and their impact on IFRS

• How to research and stay up to date on IFRS

CASE STUDY: Applying the IFRS Framework Principles in Real-world Situations

Financial Statements and Presentation Issues

Presentation

IAS 1 Presentation of Financial Statements

– Statement of Financial Position

– Statement of Comprehensive Income, including NEW requirements

– Statement of Changes in Equity

– Upcoming changes and the financial statement project

IAS 7 Statement of Cash Flows

IFRS 5 Non-current Assets Held for Sale and Discontinued Operations

Policies and Adjustments

IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors

IAS 10 Events after the Reporting Period

Other Disclosure and Reporting Issues

IFRS 8 Operating Segments

CASE STUDIES:

• Review the New Disclosure and Presentation Requirements using Real World Financial Statements

• Determine the Treatment of Events after the Reporting Period

Day 2

Revenue Recognition

IAS 18 Revenue

- Definitions

- Revenue measurement, including gross vs. net reporting

- Exchange transactions (barter)

- Revenue from sale of goods, including recent recognition issues

- Revenue from services – recognition criteria and applications

- Revenue from interest, dividends and royalties

- Upcoming changes and the revenue recognition project

CASE STUDY: Practical Revenue Recognition and Application Scenarios Inventory

IAS 2 Inventory

- Definition

- Inventory measurement – determining cost

- Allocating overheads

- Write-downs to net realizable value and reversal considerations

Tangible and Intangible Assets

• IAS 16 Property, Plant and Equipment

• IAS 23 Borrowing Costs

• IAS 38 Intangible Assets

• IAS 40 Investment Property

• IFRS 5 Non-current Assets Held for Sale and Discontinued Operations

- Initial recognition and measurement, including asset retirement costs

- Treatment of subsequent expenditures

- Valuation methods

- Depreciation, including composite asset accounting

- Assets held for sale

- Interest capitalization

- Investment property identification and accounting, including alternatives

- Treatment of internally generated intangible assets, including exceptions

- Accounting for research and development

CASE STUDIES:

• Property, Plant and Equipment – Recognition, Measurement and Revaluation

• Accounting for Asset Retirement Obligations

• Investment Property – Recognition, Valuation and Changes in Use

• Intangible Assets –Recognition, Measurement, and Subsequent Expenditures

Day 3

Impairment of Tangible and Intangible Assets

IAS 36 Impairment of Assets

- Identifying an asset that may be impaired

- Determining the recoverable amount

- Measuring and recognizing an impairment loss

- Identifying cash-generating units (CGU) and assigning assets

- Allocating losses to individual assets

- Reversing impairment losses

CASE STUDY: Evaluating the Impairment Testing of Goodwill and Determining Whether Impairment Should be Recognized

Provisions and Contingencies

IAS 37 Provisions, Contingent Liabilities and Contingent Assets

- Understanding liabilities, contingencies and commitments

- Recognizing and measuring provisions, including changes in estimate

- Applying contingency disclosure requirements

- Upcoming changes and the non-financial liabilities project

CASE STUDIES:

· Distinguishing Between Liabilities, Provisions and Contingent Liabilities

· Applying Recognition and Measurement Concepts to Determine Appropriate Accounting Treatment

· Calculating the Correct Amount of Provision to Record in Various Situations

· Employee Benefits

· IAS 19: Employee Benefits

- Short-term employee benefits

- Post-employment benefits – identifying plan types

- Accounting for defined contribution plans

- Accounting for defined benefit plans, including NEW requirements

- Recognizing actuarial gains & losses, including the alternative treatments

- Financial statement recognition and requirements

CASE STUDY: Defined Benefit Plan Accounting

Leases

IAS 17 Leases

- Applying the IFRS definition to identify lease arrangements

- Classifying leases

- Accounting for lessee finance leases

- Accounting for lessee operating leases

- Accounting for lessor finance leases

- Accounting for lessor operating leases

- Operating lease incentives

- Upcoming changes and the lease project

CASE STUDIES: Identifying, Classifying and Accounting for Leases

Day 4

Financial Instruments

· IAS 32 Financial Instruments: Presentation

· IAS 39 Financial Instruments: Recognition and Measurement

· IFRS 7 Financial Instruments: Disclosures

· Overview of NEW IFRS 9 Financial Instruments: Classification and Measurement

- Classifying financial instruments

- Recognizing and measuring financial instruments, both initially and subsequently

- Determining fair value

- Applying reclassification rules

- Derecognizing financial assets and liabilities

- Recognizing, calculating and reversing impairment losses

- Accounting for derivatives

- Identifying and classifying debt and equity instruments

- Meeting the disclosure requirements – IFRS 7 requirements

CASE STUDIES:

· Accounting for Financial Instruments – Classification

· Identifying Liabilities vs. Equity

· Applying the De-recognition Model

· Recognizing and Calculating Impairment

· Applying the Effective Interest Method: Transaction Costs, Amortization and Premiums/Discounts

· Consolidations

· IAS 27: Consolidated and Separate Financial Statements

· SIC 12: Consolidation – Special Purpose Entities

- Consolidated financial statement requirements, including exemptions

- Consolidation procedures

- Non-controlling interest presentation

- Accounting in separate financial statements

- NEW IFRS 10 Consolidated Financial Statements

- NEW IFRS 12 Disclosure of Interests in Other Entities

CASE STUDY: Special Purpose Entity Consolidation Accounting for Associates

· IAS 28: Investments in Associates

- Identifying significant interest and associates

- Accounting requirements and exemptions

- Application of the equity method

CASE STUDY: Calculating Equity Method Balances

Accounting for Joint Ventures

· IAS 31: Interests in Joint Ventures

- Identifying joint ventures

- Joint venture types

- Accounting and presentation for each type of joint venture

- NEW IFRS 11 Joint Arrangements

Foreign Currency Issues

· IAS 21 The Effects of Changes in Foreign Exchange Rates

· Definitions

· Determining the functional currency

· Reporting foreign currency transactions and recognizing exchange differences

· Translating foreign entity financial statements

CASE STUDIES:

· Determining Functional Currency

· Identifying Monetary Items

· Measuring and Recognizing Exchange Gains and Losses

· Translating Foreign Entity Financial Statements

Day 5

Optional Sessions: Transitioning to IFRS (½ day)

Overview of IFRS 1 First-time Adoption of IFRS

· Basic principles of IFRS I

· Important definitions and key considerations

· Preparing the opening statement of financial position

· Recognizing new assets and liabilities

· Derecognizing financial items

· Reclassifying financial statement items

· Re-measuring

Retrospective

Mandatory exceptions from other IFRS

· Optional exemptions

· Presentation and disclosure requirements

· Implementing the Transition Process

· Learning from past transitions

· Managing the transition process

· Overall project development

· Initial assessment phase

· Planning phase

· Training needs and considerations

· Implementation and testing

· Project Closure

CASE STUDIES and ILLUSTRATIONS:

· Discussion of participants’ application issues, real-world case studies and supporting materials will be included throughout the program

· Business Combinations: Application of the New IFRS 3 (½ day)

· Applying the Acquisition Method

· Differentiating a business combination from other group asset purchases

· Understanding the definition of a business under IFRS 3

· Identifying the acquirer

· Evaluating which entity has control

· Determining the acquisition date

· Calculating the cost of the consideration transferred (cost of the acquisition)

· Accounting for contingent consideration

· Recognizing and valuing the acquired assets, liabilities and contingent liabilities

· Understanding the recognition and valuation exceptions

· Accounting for a purchase involving non-controlling interests

· Calculating goodwill under both alternative methods

· Dealing with provisional values and measurement changes after the acquisition date

· Other Considerations and Issues

· Accounting for step acquisitions

· Recognizing and recording transactions with non-controlling interests

· Applying IFRS 3 requirements to reverse acquisitions

· Complying with goodwill allocation and impairment testing requirements

· Meeting disclosure and presentation requirements

CASE STUDIES and ILLUSTRATIONS:

· Calculating the acquisition cost, including contingent consideration

· Measuring goodwill under both the full and partial goodwill methods

· Accounting for provisional values and valuation changes

· Review of real-world business combination disclosures

• Karen Kalishek

  Karen Kalishek is an international instructor and consultant specialising in International Financial Reporting Standards (IFRS and US Generally Accepted Accounting Principles (US GAAP)). Karen also writes technical accounting material for publication and is a content author for IFRS and US GAAP e-learning programs.
  
  She is a US Certified Public Accountant (CPA), a Certified Management Accountant (CMA), a Certified Fraud Examiner (CFE) and earned an MBA from the University of Wisconsin. Prior to entering the international arena, she taught graduate level business and finance courses in the USA as well as CPA examination review courses. Karen was formerly Senior Vice-President in a regional bank holding company and also served for eight years on the accounting examination and licensing board of her state. Karen’s extensive experience and engaging teaching style have made her a popular instructor with many repeat clients.

  Courses run by this instructor

  • Applying IFRS/IAS with Optional 5th Day

Interested in holding this course in-house? Please fill out your details and a member of our team will be in touch with more information.

Managing and Measuring Operational Risk - New York City

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A unique training course designed specifically for Investment / Commercial Banks, Securities and Asset Management Firms, Corporate Treasurers, Auditors and Financial Regulators

Corporate Governance - New York City

27 Feb 2012 - 1 Mar 2012 (New York, United States)
23-26 Jul 2012 (Miami, United States)
10-13 Sep 2012 (New York, United States)

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26-30 Mar 2012 (New York, United States)
12-16 Nov 2012 (New York, United States)

Accurately applying IFRS is a demanding process that requires planning and thought. As well as the technical accounting changes that inevitably flow from the adoption of IFRS, the standards themselves are principles-based standards that require a good understanding of the underlying concepts as well as the application of extensive professional judgment. The application of IFRS also requires the use of fair values to record both transactions and determine balance sheet valuation for many financial assets and financial liabilities. This course will help delegates to understand the significant issues to address when applying IFRS. Participants will also receive information on the latest developments and anticipated changes to IFRS, as well as insight on how to keep their knowledge up to date in the future. Using real-world company financial statements and other case studies, delegates will learn how put IFRS accounting principles into practice and also how to understand and interpret IFRS financial statements.

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6-9 Nov 2012 (New York, United States)

Risk Management Oversight & Board Members & Executives - New York City

5-7 Nov 2012 (New York, United States)

This course is designed to help corporate board members understand how to respond to this challenge. We walk participants through each of the essential processes of financial and operational risk management highlighting areas where they must be in a position to challenge the risk management function. We then give considerable attention to the formation of the board’s risk sub-committee, discussing when it should take form, how it should take form and how it should function in relation to the board’s audit committee in particular.

 

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