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ifrs 5

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FR Exams › ifrs 5

  • This topic has 1 reply, 2 voices, and was last updated 7 years ago by AvatarP2-D2.
Viewing 2 posts - 1 through 2 (of 2 total)
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  • October 21, 2018 at 7:53 pm #479401
    Avataradarsh1997
    Participant
    • Topics: 646
    • Replies: 282
    • ☆☆☆☆

    Hello Chris,

    For discontinued operations, ifrs 5 states that the post tax gain or loss recognized on the measurement to fair value less costs to sell, or on the disposal, of the assets constituting the discontinued operations.

    1. Could you explain, when do we need to deduct the costs to sell? After calculating the gain or loss?

    Thanks

    October 21, 2018 at 9:35 pm #479407
    AvatarP2-D2
    Keymaster
    • Topics: 4
    • Replies: 7232
    • ☆☆☆☆☆

    Hi,

    It is because we are being prudent. We will incur the expense to we recognise it once the conditions are met to hold it as a discontinued operation.

    Thanks

    Chris

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