Measurement categories for financial assets
What are the principal measurement categories for financial assets?
Principal measurement categories for financial assets are amortised cost, fair value through other comprehensive income – FVOCI and fair value through profit or loss – FVTPL.
As per the previous version, viz, IAS 39, the financial assets were classified as one of the following, viz, (a) fair value through profit or loss –FVTPL; (b) available for sale; (c) held to maturity; and (d) loans and receivables. Out of all these, the last category, viz, loans and receivables are now not a measurement category. Held to maturity is now known as amortised cost albeit with significant variations. Available for sale category is removed and in that place, we have fair value through other comprehensive income – FVOCI. As per Ind AS 109, FVOCI category consists of two sub classifications, viz, one for equity instruments and the other for debt instruments with significant changes in treatment between the two.
Effective Rate of Interest – EIR
Are RBI circulars relevant for ECL computation as per Ind AS 109?
What is a Financial instrument?
Is there a choice to designate as FVTPL?
What are treasury shares and how are these presented
Contract to deal in non-financial item
Can a corporate entity still follow settlement date accounting?
Gains and losses on assets measured at FVOCI
Separately accounting for an embedded derivative
Derecognition of a financial asset
Foreign currency risk in a firm commitment as a fair value hedge
Treatment of transaction costs
Derecognise financial assets/financial liabilities retrospectively
Modification of contractual cash flows
Own use exemption as per the Accounting Standard
Difference between amortised cost & held-to-maturity
Accounting treatment for FVOCI Instruments
What is the concept of effective interest method?
First-time adoption while classifying a financial instrument
SPPI test & business model objective test
Current standards for financial instruments as per AS?
Contract is settled through the entity’s own equity instrument
Financial asset categorised as FVOCI
What is an embedded derivative?
Impairment model for different categories of financial assets
Ind ASs relating to financial instruments
FVOCI (equity instruments) and FVOCI (debt instruments)
Classification of derivative instruments
Reclassification of a financial asset
Debt instrument measured at FVOCI
Change in contractual cash flows
Loss allowance as per Ind AS 109
Ind AS for financial instruments replica of IFRS?
Contractual cash flows & effective interest rate
Long-term financial liability classified as FVTPL
Credit adjusted effective interest rate
Effective rate of interest during the first-time adoption
Consequence of not de-recognising an asset after the sale
Designation of contracts deal a non-financial item on first time adoption
Recognition of financial instruments on first-time adoption
Gains and losses on a financial instrument
Gains and losses from liabilities designated as FVTPL
Difference between time value of money and modified time value of money
