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IFRS 8- Aggregation criteria

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBR Exams › IFRS 8- Aggregation criteria

  • This topic has 3 replies, 2 voices, and was last updated 5 years ago by AvatarStephen Widberg.
Viewing 4 posts - 1 through 4 (of 4 total)
  • Author
    Posts
  • June 16, 2020 at 9:43 pm #574013
    Avatarmisbahkiran
    Participant
    • Topics: 109
    • Replies: 193
    • ☆☆☆

    as per IFRS 8

    Two or more operating segments may be aggregated into a single operating segment if aggregation is consistent with the core principle of this IFRS, the segments have similar economic characteristics, and the segments are similar in each of the following respects:

    (a)
    the nature of the products and services;

    (b)
    the nature of the production processes;

    (c)
    the type or class of customer for their products and services;

    (d)
    the methods used to distribute their products or provide their services; and

    (e)
    if applicable, the nature of the regulatory environment, for example, banking, insurance or public utilities.

    I wanted to know, do all the criteria need to be fulfilled for aggregation?

    in question 43 part b, two criteria met but in answer they said we cannot aggregate local train operations and inter-city train operations.

    June 17, 2020 at 5:18 pm #574079
    AvatarStephen Widberg
    Keymaster
    • Topics: 17
    • Replies: 3449
    • ☆☆☆☆☆

    I think you have to meet all of the criteria.

    June 17, 2020 at 9:43 pm #574092
    Avatarmisbahkiran
    Participant
    • Topics: 109
    • Replies: 193
    • ☆☆☆

    thank you sir for clarification

    June 18, 2020 at 2:00 pm #574177
    AvatarStephen Widberg
    Keymaster
    • Topics: 17
    • Replies: 3449
    • ☆☆☆☆☆

    No worries

  • Author
    Posts
Viewing 4 posts - 1 through 4 (of 4 total)
  • The topic ‘IFRS 8- Aggregation criteria’ is closed to new replies.

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