Hello all,
We have several positions of ‘commodity storages’ in our portfolio (oil storage tanks, underground gas storages, coal reserves…). These storages are considered as assets and are valued at a typical average winter/summer commodity spread (buy summer, sell winter). The complete portfolio is accounted using the “accrual” method. Within the trading business these spreads are also referred to as intrinsic value of a storage.
We are considering trading positions on these assets in the future… This implies that traders should be possible to take daily ’speculative’ positions on assets assigned in our physical …

Hello to all IFRS expert,
I would like to clarify the IAS 39 accounting entries for a forward contract.
My company currently open LC for purchase of machinery from japan for our trading business on 11 March 2010. Due to forex volatility, we entered into a forward contract for Japanese Yen. Say the yen amount is JPY25,000,000 @ 3.789 (for malaysia) maturity on 10 January 2011.
What is the double entry ? Is it correct that we debit financial assets at RM947,250 (Yen x 3.789/100) and credit financial liability RM947,250 at the same …

ACo, an offshore company, makes non-interest bearing loans of $10m in FY00, to ZCo a related entity in a tax paying jurisdiction. Repayment terms are 5 equal annual installments from FY05, ending FY10.
Whilst i agree that one would generally FV the loan by discounting the future receivables to PV using market rates, what would one do with the difference between the PV (say $8m) and the $10m? I think one would immediately recognise that “unearned interest” of $2m in the income statement as a Dr, and in future years recognise the PV …

Company ABC and Company DEF both own Company XYZ (50%0 each). Company XYZ in turn owns subsidiary GHI (100%) and subsidiary XYZ (100%). Company ABC sells it s share in Company XYZ to Company DEF for a consideration of $1 and in turn buys 100% share of subsidiary GHI for $100,000. How do I account for sale of subsidiary GHI in Company XYZ’s accounts?
 
Please help!

Dear members,
IASB has issued an exposure draft which is open for comment till September 7, 2009. This IFRIC discusses the treatment when a company will issue its own shares to settle some or all of its liabilities.
The exposure draft talks about the right to acquire own equity instruments.
The draft can be accessed at the following location;
http://www.iasb.org/NR/rdonlyres/974EE382-6274-4294-A92B-230D0504C26E/0/IFRICD25.pdf
Comments can be sent in at the following address;
http://www.iasb.org/Current+Projects/IFRIC+Projects/IFRIC+D25+Extinguishing+Financial+Liabilities+with+Equity+Instruments/Draft+Interpretation+and+comment+letters/Draft+Interpretation+and+comment+letters.htm
Expert (http://www.theaccountantsdesk.com)

In May 2009 the IASB published an exposure draft on Fair Value Measurement.
Stephen Cooper, Member of the Board, Hilary Eastman, Project Manager and Henri Venter, Assistant Project Manager, will be introducing the exposure draft in a live web presentation on 30 June 2009 followed by a question and answer session. The exposure draft is open for comment until 28 September 2009.
The web presentation and the question and answer sessions will be recorded and made available on the project website soon after the presentation.
Register to participate
Each presentation, including the question and answer session, is expected to …

Hi AllI need your help. Can anyone give me an example about fair value
hedge of AFS Bond by using Interest rate swap?Thank in advance.Mac

The company should have used the (IAS 16) from the beginning, as this is illiquid investment.
Any way it is possible to apply the cost principle instead of the value, but there should be a reversal of the previouse capital earnnings recognized under ( IAS 40).
In addition a footnote disclosure stating all the effects and details of the principle changes.
Regards
A.A . Rahman

Dear All,
Please guide me on the below
A Company is having land on which construction is going on. The intention of the company is to let it out for the rental …