Conceptual Foundations of Financial Statements. 

  • The objective of financial reporting;
  • The main assumptions;
  • Qualitative characteristics of financial reporting;
  • Elements of Financial Statements: recognition and measurement;
  • Concepts of capital.

IAS 1 “Presentation of Financial Statements” 

– Purpose and application of the standard; – Components of financial statements, including Report on Equity; – Confidence in reporting and compliance with IFRSs; – Presentation of Financial Statements.

IAS 7 “Statement of Cash Flows” (CCF) 

– Purpose and application of the standard. Concepts; – The structure of the Cash Flow Statement; – Classification of business operations with the objective of CFS; – Types of cash flow statement presentation; – A direct method for preparation of cash flow statement; – The indirect method cash flow statement preparation; – Identification of inflows and outflows of cash and cash equivalents provided by the bank’s operations.

IAS 8 “Accounting Policies, Changes in Valuation Calculations and Errors” 

– Purpose of accounting policies; – Changes in accounting policies – a retrospective approach; – Reflection in the financial statements of changes in accounting; estimates (prospective approach); – Errors in the financial statements and methods of their correction.


IAS 32 and 39 “Financial Instruments” 

– The concept of financial instruments – Identification of financial instruments: financial assets and liabilities derivatives: recognition and rejection of the recognition – Classification of financial instruments; – Valuation of financial instruments: when registering in financial reporting. – Follow-up evaluation: should we expect a mortized cost? – Accounting for impairment of financial assets; – Derecognition of financial instruments; – Hedging; – Forward contracts, swaps,futures; – Non-market interest rates; – Practical applications for banks and other financial institutions; – Recommendations to the disclosure.

IFRS 7 “Financial Instruments: Disclosures” 

– Accounting Policies; – Profit and loss account; – The balance sheet or balance; – Statement of cash flows; – Statement of changes inequity; – Additional disclosures; – Basic disclosure requirements for financial instruments; – Disclosure of risk management policy; – New approaches to disclosure in accordance with IFRS7 “Financial Instruments: Disclosures”.

IAS 16 “Property” 

– The concept; – Criteria and Evaluation; – Recognition and initial assessment; – Follow-up evaluation; – Depreciation; – Disposals; – Disclosure.

IAS 38 “Intangible Assets” 

– The concept; – Recognition and development cost; – Assessment and reassessment; – Depreciation; – Disclosure.

IAS 40 “Investment Property” 

– Classification of property; – The preparation of financial statements and assessment of investment property.

IAS 36 “Impairment of Assets” 

– Introduction; – The procedure fortesting for impairment; – The causesof impairment; – Definition of cash-generating unit; – Calculation of recoverable amount; – Restoration of impaired assets; – Disclosure.

IFRS 5 “Non-current Assets Held for Sale and Discontinued Operations” 

– The criteria for the classification of non-current assets as held for sale; – The Group’s assets for retirement; – Recognition and measurement.

IAS 17 “Leases” 

– Types of lease -finance/operating lease; – Signs and principles of lease classification; – Reflection of the lease in the financial lessor and lessee; – Reflection of operating leases in the financial statements of the lessor and lessee; – Disclosure

IAS 37 “Provisions, Contingent Liabilities and Contingent Assets” 

– Reserves – Definition, Recognition and Measurement; – Evaluation; – Creation of reserves (reserves for issued loans, other reserves); – Contingent liabilities – the definition and recognition; – Contingent assets – the definition and recognition; – Disclosure  IAS 12 “Income Taxes”  – Deferred income taxes- a concept: – Temporary differences: Temporary taxable differences and deductible temporary differences; – Recognition of deferred tax assets and liabilities; – Calculation of the tax base of the asset and liability; – The calculation of deferred taxes on credit operations; – Presentation and disclosure of deferred taxes.

IAS 18 “Revenue” 

– The conditions for recognizing revenue; – Recognition of interest income.

IAS 19 “Employee Benefits” 

– Identification of fixed payment of pension plans by the employer groups and plans with defined contribution; – Recognition and measurement of pension plans, defined contribution and defined benefit; – Reflection of pension plans in accounting, financial statements and notes to the accounts.

IFRS 2 “Share-based payments instruments” 

– The concept of payment based on the equity instruments; – Evaluation of the transaction at fair value; – The difference between the operations, which offer payments using the shares settled in cash and equity instruments; – Disclosure in financial reporting. Additional Disclosure of Information 

IAS 34 “Interim Financial Reporting” 

– The scope of IAS 34; – Definitions and minimum of the interim reporting; – Information to be included in the notes to the interim financial statements; – The period to provide the interim financial statements; – Disclosure of estimates of the interim financial statements in annual reports, if in the final period of assessment has changed; – Accounting policies for interim reporting; – Seasonal income, non-uniform costs and the use of estimates in interim financial statements.

IFRS 8 “Operating Segments” 

– Definitions of industry and geographical segments; – Primary and secondary format for segment information; – Financial performance, requiring disclosure in respect of primary segment format; – Information about the format of the secondary; – Criteria for selection of segments for presentation in financial statements; – The accounting policies of the segment.

IAS 33 “Earnings per Share” 

– Calculation of earnings per share in accordance with IAS 33; – Earnings per share in the event of the year preferential issue or stock split; – Calculation for the placement of shares at a premium and with the release of rights; – The calculation of diluted earnings per share and issue convertible debtor preferred stock; – Issuance of stock options and warrants on shares; – Identify the circumstances under which an effect of increasing earnings per share; – Conversion of comparative data on earnings per share; – Additional disclosures about earnings per share.

IAS 10 “Events after the Balance Sheet Date” 

– Definition of subsequent events- corrective and non-adjusting (the algorithm to reflect events after the reporting date); – Recognition of adjusting events; – Inclusion in the reporting of non-adjusting events; – Disclosure of information about events after the reporting date.

IAS 21 “Effects of Changes in Foreign Exchange Rates” 

– Identification of the functional currency; – Assessment at initial recognition of foreign currency transactions; – Recognition of exchange differences; – Select the presentation currency; – How to convert statements into the presentation currency, the current and historical.

IAS 24 “Disclosure of Information of Related Party” 

– The purpose and scope of thestandard; – Key Concepts; – Criteria for determining related parties; – The disclosure requirements for related party; – An example disclosure of information of related party. The Financial Statements of Associated Companies and Joint Ventures 

IFRS 3 “Business Combinations” 

– Identification of acquirer; – Identification of the date of purchase; – Determining the value of combining; – Average cost of the combination to the identifiable assets, liabilities and contingent liabilities; – Determining the amount of goodwill and minority interest; – Basic requirements for disclosure. IAS 27 “Consolidated and Separate Financial Statements”  – Definition of subsidiaries; – Identification of associates and joint ventures; – Presentation of the consolidated financial statements; – The procedure and method of consolidation; – Reflection of investments in subsidiaries, associates and jointly controlled entities in the separate financial statements (IAS 28, IAS31); – Basic requirements for disclosure.