Course description

Programme Outline

Upon completion of this course, participants will be able to:

1. Revenue from Contracts with Customers

·       Explain the concept of satisfying a performance obligation and the recognition of corresponding revenue and costs over time.

·       Identify the relevant revenue and costs to be recognised in a construction contract.

·       Calculate the amount of revenue and costs to be recognised where the expected contract outcome is a profit, loss or unknown

2. Foreign Currency Translation for a Foreign Operation

·       Identify the correct foreign exchange rates used in the translation of a financial statement of a foreign operation.

·       Apply the translation of foreign operations financial statement from its functional currency into the group’s presentation currency.

·       Perform reconciliation for Foreign Currency Translation Reserve balance to proof check translation for financial statement of a foreign operations.

3. Impairment of Assets

·       Evaluate the impairment test for all classes of assets.

·       Calculate the impairment losses for all classes of assets.

·       Identify and explain the concept of a cash-generating unit.

·       Allocate impairment losses to cash-generating units appropriately.

4.Related Party Disclosure

·       Identify the parties considered to be related to an entity.

·       Propose appropriate Related Party transactions and balances required

5. Consolidation ( Part 1 )

·       Describe the role and purpose of consolidated financial statements.

·       Identify and apply the criteria used to distinguish between a subsidiary and an associate.

·       Apply the acquisition method of accounting for business combinations (SFRS(I) 3).

·       Apply the principles in determining the fair value of consideration transferred on acquisition date.

·       Prepare eliminating consolidation journal entries for an acquisition of a subsidiary, on acquisition date.

·       Prepare consolidation adjustments to account for non-controlling interests.

·       Prepare the proof of balances (analytical check) for non-controlling interests and retained earnings balances for consolidated financial statements.

6. Consolidation ( Part 2 )

·       Prepare post-acquisition consolidation adjustments on acquisition date fair value differentials.

·       Prepare the eliminating consolidation adjustments relating to intra-group transactions and balances including deferred tax adjustments.

·       Distinguish how pre-acquisition and post-acquisition reserves in preparing consolidated financial statements.

·       Prepare consolidation adjusting entries for elimination intra-group transactions and balances.

·       Apply the equity method of accounting for associates.

·       Prepare the elimination journal entries for intra-transactions with investment in associate.

·       Prepare a Proof of balances (analytical check) for investment in associate.

Target Audience

This course is suitable for individuals seeking foundational knowledge in Advanced Financial Reporting