|
|
IFRS 9 - a new approach to financial instruments reporting
Kumar, Sunny
This diploma thesis deals with the new classification and measurement of financial instruments and quantifying the impacts on banking organizations after application of new standard IFRS 9. Since IFRS 9 superseded IAS 39, therefore this thesis makes a research and analysis on the financial reporting mechanism used before and after introduction of IFRS 9. Theoretical part of the thesis explains classification and measurement of IFRS 9, a qualitative comparison between IAS 39 and IFRS 9 and the different impacts on organizations by application of new standard. The practical part quantifies those impacts by analyzing financial statements and reports that may influence effectiveness, control and revenue for the 3 banking organizations from Czech Republic in their financial instrument reporting.
|
|
|
Challenges of IFRS 9 under COVID-19 crisis
Stefanov, Adam ; Pečená, Magda (advisor) ; Teplý, Petr (referee)
The purpose of this thesis is to analyse provisioning in banks according to the new accounting standard IFRS 9 under COVID-19 crisis, and the difference between provisioning under IFRS 9 and the previous IAS 39 standard in the Czech Republic. We examine the procyclicality of provisioning and income smoothing practices in Czech banks on individual banking groups data and on aggregated total banking sector. We use panel regression and Ordinary Least Squares on quarterly aggregated real data for the period 1Q2008-4Q2021. The provisioning under IAS 39 incurred loss model was procyclical, and therefore IASB introduced IFRS 9 - a new three-stages ECL model to calculate impairment and provisions in a forward-looking manner, which it believed to be countercyclical. First, we find that the provisioning in Czech banks under IFRS 9 still behave procyclically, even though the banks create provisions immediately when the macroeconomic environment deteriorates compared to the delayed provisioning under IAS 39. We discuss a possible solution to the procyclicality problem that could lie in the US GAAP CECL model. Second, we provide evidence that the introduction of IFRS 9 discouraged banks from income smoothing practices via provisions, thus removing some inefficiency of the previous standard.
|
|
|
IFRS 9 - dopady pro nebankovní subjekty
Vašíčková, Veronika
VAŠÍČKOVÁ, V. IFRS 9 – impact on non-bank entities. Diploma thesis. Brno: Mendel University, 2019. Diploma thesis is focused on influence of IFRS 9 on non-bank entities. Classification, measurement, impairment is described in the first part of thesis. Then comparation of IAS 39 and IFRS 9 are performed. In second part of thesis there is performed impact of IFRS 9 on selected non-bank entities – financial instruments of selected entities are classified and measured according IFRS 9 and there is calculated expected credit loss. Impact is quantified using percentual changes in assets and liabilities.
|
|
|
Endorsement of IFRS 9
Virt, Jan ; Vašek, Libor (advisor) ; Peprníčková, Mariana (referee)
Author of the diploma thesis deals with the endorsement process of IFRS 9. In the first chapter, the author briefly describes the historical development of international accounting standards that have regulated or otherwise related to financial instruments and outlines the developments in the field. In the main chapter of the thesis, author discusses in detail the endorsement process, characterizes the bodies and institutions involved in the process, describes the endorsement process as such, analyses the criteria according to which the compliance of the new standard with EU law is assessed and describes how European institutions participate in preparing standards before their adoption by the IASB. Author shows how the described procedure and criteria are applied in the approval of IFRS 9. Lastly, author analyses on a sample of companies listed on the Prague Stock Exchange how these companies are considering the endorsement of IFRS 9 by the European Union and the obligation to report their financial instruments under IFRS 9 from 2018.
|
|
|
Reporting bonds according to the Czech accounting regulations and standards and IFRS
Macháček, Martin ; Zelenka, Vladimír (advisor) ; Zelenková, Marie (referee)
This bachelor thesis concerns the legal and economical adjustment of bonds, a bond analysis and the accounting and reporting of bonds for entrepreneurs according to the Czech accounting regulations and standards and IFRS. The theoretical part is explained using examples of discount bonds and coupon bonds. Subsequently, both systems are compared and the finding reveals that the biggest difference is in the distribution of interest. There the IFRS strictly require the use of the effective interest rate. Whereas, according to the Czech accounting regulations and standards, there is the anticipated use of the effective interest rate only for financial institutions and large corporations. Entrepreneurs usually use particularly linear distribution of interest for their needs.
|
|
|
Accounting for products of Financial Markets department at ING Bank
Mudrochová, Petra ; Vašek, Libor (advisor) ; Procházka, David (referee)
The banking industry is without a doubt one of the most innovative segments. Its products are continuously evolving with the advent of new technologies, globalization, competition and regulation. IASB attempt to capture what is happening to modify IFRS. On the other hand bank's lobbying actions can also be seen on countless amendments to International Accounting Standard on financial instruments. Therefore, IAS 39 has become difficult to understand, apply and interpret and thus IASB developed a new exposure draft IFRS 9. This diploma thesis compares Czech Accounting Standards, IAS 39 and IFRS 9 for derivatives, bonds and repurchasing agreements, focusing on their different classification, the concept of fair value and own credit risk. The practical part is based on products of Financial Markets department at ING Bank. Finally, it outlined the latest developments in the convergence process between IFRS and U.S. GAAP relating to the issues described.
|
|
|
New regulation in classsification and measurement of financial assets and liabilities according to IFRS
Peringer, Matouš ; Vašek, Libor (advisor) ; Najmanová, Daniela (referee)
Financial instruments stand for a critical role in current economy. Total value of financial assets was $167 trillion due to McKinsey study in 2007. More alarming is a fact that total value of all derivative at OTC market was more than $600 trillion what is more than world's wealth. It is obvious that such a market needs rigorous regulation. International Accounting Standard Board (IASB) releasing new standard which regulate only financial instruments aims to react on that fact. In first part I would like to show current situation on financial market and brief regulation due to current rules. From the text there should be obvious nowadays turbulent environment and crisis deforming financial market. It was necessity for me to demonstrate the process of developing and adopting of the new standard. Next part of my diploma thesis refers to adopted rules for financial assets. This should be the fundamental part for users of financial statements as well as for my diploma thesis. The main changes took part in classification of financial assets. There are two new concepts for classification of financial asset which should be described in detailed. For better illustration I also placed practical part for classification according to new models. For readers it is convenient to know the differences between exposure draft and released standard. That should demonstrate the complex view of IASB. There are few changes in classification of financial liabilities. The main change is in specific case of own credit which I posted in thesis. This specific problem postponed the whole endorsement of the standard. The last chapter is dedicated to convergence between IFRS and US GAAP. Both parties work on convergence on reporting of financial instruments.
|
|
| |
|
|
Financial Instruments in Bank Accounting
Miková, Tereza ; Strouhal, Jiří (advisor) ; Unzeitig, Martin (referee)
Topic of the master thesis is the Financial Instruments in Bank Accounting. The master thesis looks at bookkeeping and accounting of financial instruments in international financial reporting standards context. The main reporting standards which are discussed in the paper are: IAS 32, IAS 39, IFRS 7 and IFRS 9. In the first part, the reporting standards impact on banks as commercial subjects, legislation of bank operations, financial instruments and accounting in both a national and international context are presented. The focus of master thesis is examined in the second and third sections where financial instruments are discussed in detail and their characteristics, initial recognition, subsequent measurement and accounting are also examined. The next topic is the issue of the reclassification of financial instruments and their impairment is discussed. The forth part of the thesis examines IFRS 7. The standard has claims on the disclosure of financial instruments in both the statement of financial position and statement of comprehensive income. IFRS 7 also has claims on related areas including disclosure of credit, liquidity and market risk. The last part deals with news in the examined area where the main focus is IFRS 9.
|
|
|
The regulation of financial assets in the financial statements according to IFRS
Shagatay, Samal ; Vašek, Libor (advisor)
The aim of this work is to review the issue of financial assets reporting in financial statements made in accordance with International Financial Reporting Standards. The objectives are in particular to explain the basic terms, to present the financial assets classification, valuation methods and their subsequent recognition in agreement with categories. In the end there are also described the requirements for disclosure in the financial statements. The benefit of the work is a detailed display of the issue of financial assets, including changes associated with the publication of the new IFRS 9: Financial Instruments. The work includes a set of exercises and the practical demonstrations from the financial statements of Al Dhafra Insurance Company P.S.C.
|
guest ::
