"A loss allowance for full lifetime expected credit losses is required for a financial instrument if the credit risk of that financial instrument has increased significantly since initial recognition, as well as to contract assets or trade receivables that do not constitute a financing transaction in accordance with IFRS 15."
What is the financing transaction in IFRS 15 ? referring to which part of IFRS 15?
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Allowance for credit loss
6y ago#1Loan assets AND trade receivables due after more than one year - only make 100% allowance when credit risk increases
Trade receivables within 1 year ('no significant financing component) - make 100% allowance at time of sale (if considered necessary)
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