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Naswar Corner

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He's provisioning for some losses under restructuring (Which I think is defined in IAS 37) and I am just scratching my head to figure out how his accountants are using this tool

on IFRS, they have this crazy accounting method to recognize future revenue... and I am just struggling to make sense out of it...

I think I need to get a good accounting stud in my team... Consultants are useless in front of accountants

Well as far as I remember, in case of restructuring, a provision will be created only if your client has not only finalized but also announced a detail plan which in effect raises a valid expectation in the minds of those who maybe effected (its stakeholders) & the announcement bit is necessary because until its announced any management decision can be reversed & are reversed before a final shape is seen.

Furthermore I think only those costs could be included in the Provision that are :

(a) necessarily to be incurred

and (b) aren't associated with the client's operating activities

I think @Dillinger can correct me if I'm wrong ! :undecided:
 
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@Dillinger
@Neptune
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80% 9mm !
Bullets of pakistan police standard pistol
.
Call in some experts!
@Pakistani Nationalist
 
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