Program content

International Accounting Standards Board (IASB)

• Revenue recognition
• Fixed assets
• Impairment of assets
• Rent
• Intangible assets and goodwill
• Reserves
• Financial instrument
• Liabilities – reserves, contingent assets and liabilities
• Employee benefits, including post-employment benefits
• Taxes in the financial statements
• Impact of changes in exchange rates
• Agricultural industry
• Payments using shares
• Exploration and evaluation of mineral resources
• Fair value measurement

1) Preparation of the statement of financial position, statement of profit and loss and other comprehensive income and statement of changes in equity
2) Earnings per share
3) Events after the reporting date
4) Accounting policies, changes in accounting calculations and errors
5) related party Disclosures
6) Operating segments
7) Reporting Requirements for small and medium-sized enterprises

1) Preparation of the group’s external consolidated financial statements
2) Business Combination-intra-group adjustments
3) Business Combination-fair value adjustments
4) Business Combinations — associates and joint ventures
5) Full disposal of investments previously made in a subsidiary

Our training program DipIFR (Rus) includes conducting mock exams. On our website, you can find the date and time of the next mock exams. A trial exam is an objective indicator of how well students are prepared to pass and allows you to adjust the preparation process for it. The duration of the trial exams is 2-3 hours, after analyzing the results, the student will be able to understand what to focus on. Perhaps you need to study new material, perhaps it is better to repeat the passed one.

ELEMENTS NOT INCLUDED IN THE PROGRAM

The following elements were excluded from the program:

Financial statements of partnerships and branches of companies
Complex groups, including subsidiaries or mixed groups, and foreign subsidiaries
Gradual acquisitions and sales of subsidiaries and group restructuring
Financial statements of banks and similar financial institutions
Preparation of cash flow statements (both for individual companies and consolidated ones)
Preparation of interim financial reports
Accounting in insurance organizations
Draft provisions and discussion documents of IFRS
IFRS standards from the point of view of interstate organizations
Multiple employer compensation schemes
Information reflecting the effect of price changes and the hyperinflationary economy

MAIN SECTIONS OF THE PROGRAM

Names of the main sections of the program:

International legislative bodies
Elements of financial statements
Reporting and additional disclosure
Preparation of external financial statements of United companies, associates and joint ventures

Curriculum INTERNATIONAL LEGISLATIVE BODIES

A International financial Reporting Standards Board
(With IFRS) and legal framework

• Discuss the need for IFRS standards and possible obstacles to their development
• Explain the structure and legal form of IFRS, as well as the procedure for adopting standards
• Understand and interpret the conceptual principles for financial reporting developed by the international accounting standards Board
• Explain progress in international harmonization
• Prepare financial statements when first applying IFRS

В   ELEMENTS OF FINANCIAL STATEMENTS

• Explain and apply revenue recognition principles:
I. contract Identification
II. Identification of obligations to perform
III. Determining the transaction price
IV. Distribution of the transaction price for obligations to perform
V. recognition of revenue after / as performance obligations are fulfilled
• Describe and apply acceptable methods for assessing the completeness of the performance of the obligation to perform.
• Explain and apply criteria for recognizing contract costs.
• Keep records of the following types of transactions:
I. principal Agreement /agent agreement
II. Repurchase agreements
III. sales Agreements with invoicing and deferred delivery
IV. Consignment agreements
• Correctly reflect various types of compensation, including variable compensation, as well as whether there is a significant financing component in the contract.
• Prepare financial statements for contracts where some of the performance obligations are performed during a period and some are performed at a specific point in time.

• Define the historical cost of non-current assets, including internally generated assets, in relation to various cost examples, dividing them into capital and cost items
• Determine the prerequisites for capitalization of borrowed funds
• Describe and be able to determine the subsequent costs to be capitalized, including the corresponding borrowing costs
• Calculate the impact on the financial statements of the fair value measurement and revaluation of fixed assets
• Account for gains and losses on the disposal of revalued assets
• Calculate depreciation:
– revalued assets, and
– assets that have two or more major or significant components

• Apply the provisions of the IFRS standards related to government grants or government assistance for fixed assets
• Describe the criteria that must be presented before non-current assets are classified as held for sale, individually or as part of a group to be sold
• Apply the requirements of IFRS to non-current assets and disposal groups held for sale
• Discuss possible differences in accounting for investment real estate and ordinary real estate
• To apply the requirements of the standards

 

IFRS to investment property

• Determine the circumstances that can serve as an indicator that a possible impairment of an asset has occurred
• Describe what a “cash-generating unit” is
• Determine and calculate the recoverable amount of the asset, as well as any related impairment losses
• Determine the basis for allocating an asset’s impairment loss and be able to allocate the impairment loss to the assets that make up the cash-generating unit
• Maintain records of the recovery of an impairment loss that was recognized in the previous period

• Reflect the accounting for the right to use the asset and the obligation to lease it in the lessee’s reports.
• Explain exceptions to the lease recognition criteria in the lessee’s reports
• Reflect accounting for sales and leases in the lessee’s reports
• Explain the differences between operating and Finance leases from the landlord’s point of view.
• Reflect the accounting of operating and financial leases in the financial statements of the lessor.

• Discuss the nature and possible methods of accounting for acquired intangible assets and internally generated intangible assets, including goodwill
• Distinguish between goodwill and other intangible assets
• Set out the criteria for initial recognition and measurement of intangible assets
• Explain the essence of the goodwill impairment test that occurred when the company was acquired
• Identify the circumstances under which there is income from a purchase at a below-market price (negative goodwill), and the procedure for its subsequent accounting
• Describe and be able to apply the requirements of IFRS standards to internally generated intangible assets other than goodwill (for example, research and development)
• Describe the method proposed by IFRS for accounting for exploration and evaluation of mineral resources

Measure and evaluate inventory

• Explain the definition of financial instruments
• Determine the appropriate classification of financial instruments, including financial instruments subject to” separate classification”, such as convertible loans.
• Discuss and record the initial and subsequent measurement (including impairment for financial assets) of financial assets and liabilities in accordance with appropriate IFRS standards, as well as related financial costs.
• Discuss the conditions necessary for the write-off (derecognition) of a financial asset or liability.
• Explain the conditions required to use hedging.
• Prepare financial information for hedge accounting purposes, including the impact of treating hedging methods as either a fair value hedge or a cash flow hedge
• Describe the disclosure requirements for financial instruments in the notes to the financial statements

• Explain the need for IFRS standards for reserves, and provide examples of abuse in this area.
• To give a definition of estimated liabilities, legal and actual obligations, past events and the transfer of economic benefits.
• To establish when you ought to be created estimated liabilities, and when not, and how they should be taken into account.
• Explain how the estimated liabilities should be measured.
• To give a definition of contingent assets and liabilities, to give examples and describe the accounting
Identify and report on:
  – onerous contracts;
  – environmental and similar reserves

• Describe the essence of the defined contribution plan system and the defined benefit scheme
• Explain the recognition and measurement of defined benefit pension plans in employers ‘ financial statements
• Keep records of pension plans in employers ‘ financial reports

• Keep records of current tax liabilities and assets in accordance with IFRS
• Describe the principles of state sales taxes (for example, VAT or sales tax)
• Describe the principles of deferred tax accounting
• Explain the impact of taxable and recoverable temporary differences on accounting and taxable profit
• Identify and report on deferred tax assets and liabilities in accordance with the requirements of IFRS
• Calculate and reflect deferred taxes in the financial statements

• Distinguish between the presentation currency and the functional currency
• Determine the functional currency of the enterprise
• Discuss the accounting of business transactions in foreign currency and the translation of the balance of monetary / non-monetary items at the reporting date in the individual statements of enterprises in accordance with appropriate IFRS standards

•  Distinguish the scope of application of IFRS standards for agriculture
•  Discuss recognition and measurement criteria, including accounting for gains and losses, and the inability to reliably estimate fair value
•  Define and explain how government subsidies are accounted for, as well as the presentation and disclosure of information related to agriculture
•  Report on the transformation of biological assets and agricultural products at the time of harvest and on agricultural government subsidies

• Understand the term “share-based payments”
• Discuss the key concept of fair value measurement of transactions
• Explain the difference between a cash payment transaction and a share payment transaction
• Define principles related to the evaluation of transactions with payments using shares, both in cash and in equity instruments
• Calculate the indicators that should be reflected in the financial statements if the company conducts a transaction in which the payment is made using shares

• Describe the need for an IFRS standard for this area and explain its scope
• Provide examples of cost elements that can be taken into account in the initial evaluation of exploration and appraisal assets
• Describe how exploration and evaluation assets can be classified and reclassified
• Explain when and how exploration and evaluation assets should be tested for impairment

• Explain the principles of fair value measurement in accordance with IFRS
• Determine appropriate methods for measuring the fair value of an asset or liability in the given circumstances

 

REPORTING and ADDITIONAL DISCLOSURE

• Set out the objectives of the IFRS standards governing the presentation of financial statements
• Describe the structure and content of the statement of financial position, income statement and other comprehensive income, including continuing operations
• Discuss the importance of identifying and presenting the results of discontinued operations
• Identify and be able to account for non-current assets held for sale and discontinued operations
• Discuss “fair presentation”, accounting concepts and principles

Prove the importance of comparability in calculating earnings per share (EPS) and its importance as a stock market indicator

Explain why the trend in earnings per share may be a more accurate indicator of business success than the trend in earnings
• Define earnings in the context of earnings per share
• Calculate earnings per share under the following conditions:
— if the number of ordinary shares has not changed during the year
— if ordinary shares were issued at fair value during the year
— if the preferential issue / splitting of ordinary shares was carried out during the year
— if new ordinary shares were issued during the year
— if there was more than one change in the number of ordinary shares issued during the year
• Explain to shareholders the meaning of reduced earnings per share and describe the conditions under which further earnings per share will be reduced
• Calculate reduced earnings per share under the following conditions:
— if convertible debentures or preferred shares are issued;
— if there are stock options
• Identify conditions and options for” anti-lowering ” earnings per share

Distinguish between accounting for corrective and non-corrective events after the reporting period

• Identify items that require separate disclosure, including their accounting and disclosure requirements
• Recognize conditions under which changes in accounting policies are justified
• Define previous period adjustments and “errors”
• Reflect corrections of errors and changes in accounting policies. Related party disclosures
• Define and use the definition of related parties in accordance with IFRS
• Describe the possibility of being misled by improper disclosure of related party relationships and transactions between them
• Explain disclosure requirements for transactions involving related parties

• Discuss the positive and negative aspects of providing segment information
• Define an operating segment
• To identify the segments subject to reporting (including quantitative and qualitative criteria for aggregation)

• Outline the basic aspects of developing financial reporting standards for small and medium-sized enterprises
• Discuss possible solutions to the problem of differentiated financial reporting
• Discuss the reasons why international financial reporting standards for small and medium-sized enterprises do not address certain topics

 

D PREPARATION of EXTERNAL FINANCIAL STATEMENTS for COMBINED COMPANIES and JOINT VENTURES

• Explain the concept of the group and the purpose of preparing consolidated financial statements
• Explain and use the definition of a subsidiary
• Prepare a consolidated statement of financial position for a simple group (with one or more subsidiaries), reflecting pre-and post-acquisition earnings, non-controlling interests and goodwill.
• Explain the need to use the same reporting date and uniform accounting policies when preparing consolidated financial statements and describe how this is achieved in practice
• Prepare a consolidated statement of profit or loss and other comprehensive income, as well as a statement of changes in equity for a simple group (with one or more subsidiaries), including an example where the acquisition or complete disposal of ownership occurs in the middle of the year, and when there is a non-controlling interest

• Explain why intra-group transactions should be excluded during consolidation
• Report on the impact of intra-group transactions and other transactions, including:
– unsettled intra-group balances at the end of the year unrealized gains in inventory and non-current assets
– intra-group loans, interest and other
– intra-group payments
– intra-group dividends

• Explain why, when preparing consolidated financial statements, both the acquisition price of a subsidiary and the identifiable assets and liabilities of that subsidiary should be accounted for at fair value
• Calculate the fair value of the acquisition, including: cash; share exchange; deferred payments and contingent consideration
• Distinguish between joint operations and joint ventures
• Prepare consolidated financial statements that include a separate subsidiary and an associate or joint venture

• calculate the profit or loss from the total disposal of investments in a subsidiary in the financial statements of the parent company
• explain and show the effect of the total disposal of the parent company’s investment in a subsidiary in the individual statements of the parent company and / or group
• Prepare consolidated financial statements that reflect fair value adjustments (including their effect on consolidated goodwill) for: amortised and non-amortised non-current assets; inventories; deferred taxes; liabilities; assets and liabilities (including contingent liabilities) that are not included in the subsidiary’s own financial statements

Define associates and joint ventures

 

Changes to the Diploma in international financial reporting

 

ACCA periodically reviews its qualification programs to take into account accumulated criticism from all stakeholders – employers, students, regulatory and Advisory bodies, and training providers. There are no significant changes in the program during this period, and minor changes are shown in table 1.

Changes in the DipIFR-Rus Curriculum

The following topics are added to or removed from the program:

Table 1-Changes in the DipIFR program

The structure of the exam

The exam will include four mandatory questions,
with 25 points each. Question 1 will still require the preparation of one or
more consolidated financial statements in accordance with the program 

Explanation of the transition from an exam
structure that includes one question with 40 points and three questions with 20
points to a structure that includes four questions with 25 points each.

Excluded topics

Explanation regarding the fact that IAS 34 “interim financial reporting” is not included in the exam documents

Explanation regarding the fact that IAS 34 “interim financial reporting” is not included in the exam documents

B2

· Discuss possible differences in accounting for investment real estate and ordinary real estate

The word “possible” has been added to emphasize that both accounting models are considered-at actual cost and at fair value

C1

Presentation of the statement of financial position, statement of profit and loss and other comprehensive income and statement of changes in equity

Added a report on capital changes

C2

* Define earnings in the context of earnings per share

* Calculate earnings per share under the following conditions:

– if the number of ordinary shares has not changed during the year

– if ordinary shares were issued at fair value during the year

– if a preferential issue / splitting was carried out during the year

ordinary shares

– if new ordinary shares were issued during the year

– if there was more than one change in the number of ordinary shares issued during the year

This item has been expanded

C5

* Describe the possibility of being misled by improper disclosure of related party relationships and transactions between them

This item has been expanded

D1

· Prepare a consolidated statement of profit or loss and other comprehensive income, as well as a statement of changes in equity for a simple group (with one or more subsidiaries), including an example where the acquisition or complete disposal of ownership occurs in the middle of the year, and when there is a non-controlling interest

Added “or disposal” to explain that the disposal may include a non-controlling interest

D2

• Report on the impact of intra-group transactions and other transactions, including: – outstanding intra-group balances at the end of the year

Added to explain that unsettled balances are being examined