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current liability

Financial Reporting

answered on 26-Jan-26 10:53

If real estate business has operating cycle as 4 years, then inventroes are classified as current asset? [Video Time Stamp: 06:07]

latest answer

Yes

Shilpa hosmane

Shilpa hosmane

CA Final

9K+

1

27

Revaluation where decommissioning liability is there

Financial Reporting

answered on 13-Feb-26 13:03

When we buy an Asset, we add the present value of the decommissioning liability (Say 100+20). But when we revalue it, say based on DCF, (eg at Rs 110) we consider the liability as a negative right? So when we revalue it, should we not add back the present value twice? (20+20+100 so 140)

latest answer

Understood, thank you sir

Vishnu Muraleedharan

Vishnu Muraleedharan

CA Final

32K+

6

41

present value

Financial Reporting

answered on 25-Jan-26 12:11

sir, here we getting benefit interest but why are we calculating fair value of loan, instead why we not calculate by difference of interest rates and discount the interest of 15lakhs(25lakhsx%x5years) [Video Time Stamp: 04:32]

latest answer

You will understand the full logic in Ind AS 109

santosh durgapu

santosh durgapu

CA Final

2K+

1

17

Goodwill allocation

Financial Reporting

answered on 27-Jan-26 10:27

Sir goodwill on acquisition is not only allocated to the acquired business but also to the existing business right???? In this question goodwill is allocated to CGU A,B,C alone as the ratio is mentioned in the question.... If nothing is mentioned about allocation of goodwill that is no ratio is given and the carrying value of SUN Ltd is also given means..... Will we allocate Goodwill to Existing Business (SUN Ltd) as well??? If so who or in what basis we'll allocate the Goodwill??? [Video Time Stamp: 09:25]

latest answer

The question will specify basis of allocation.

Mohanbabu N

Mohanbabu N

CA Final

2K+

1

23

Change in ownership

Financial Reporting

answered on 24-Jan-26 09:51

If there is no loss of control, then we have to disclose under Financing activity, this is applicable only for CFS or even standalone?? [Video Time Stamp: 06:28]

latest answer

For standalone its a disposal of investment so investing activities

Shilpa hosmane

Shilpa hosmane

CA Final

9K+

1

23

Ind AS 41 Agriculture

Financial Reporting

answered on 27-Jan-26 10:27

Sir how come we are recognizing revenue from sale of an asset when 18 goats are sold on 1st June 20X2

latest answer

Sale in ordinary course of business. Like inventory is also an asset. When sold revenue is recognised.

Prasoon Goel

Prasoon Goel

CA Final

920

3

37

Q

Financial Reporting

answered on 27-Jan-26 10:29

sir suppose in this Q, there was exchange rates mentioned in Case 1.Then we can say that the host contract(due to gross settlement) is outside Ind AS 109 scope, but the forward contract is an embedded derivative due to currency risk right? [Video Time Stamp: 02:55]

latest answer

If gross settlement - outside the scope. if currency is USD but if its functional currency of Supplier, then it will not be a derivative but a normal foreign currency transaction covered by Ind AS 21.

SANSKRITI BADRI 2111339

SANSKRITI BADRI 2111339

CA Final

3K+

1

22

Q

Financial Reporting

answered on 27-Jan-26 10:30

Sir in this contract, on 9th sep we agreed to pay 10L USD @ 67.8 Rs. each,Doesnt this mean we need to pay 678L on 31.12.X1 no matter what ? then why are we recording bank payment as 670L? [Video Time Stamp: 13:43]

latest answer

We did not agree to pay 10L USD at 67.8 (this is a forward rate) We agreed to pay 10L USD. On day of settlement, we buyUSD at market rate and pay.

SANSKRITI BADRI 2111339

SANSKRITI BADRI 2111339

CA Final

3K+

1

29

Reversal of CGU Impairment loss

Financial Reporting

answered on 27-Jan-26 10:32

Sir when CGU loss is to be reversed we have to look into individual asset's wise right?? i.e) The carrying amount Individual assets can cannot be increased beyond lower of below right?? so what if 1. Individual asset's (Machine-A) recoverable amount = ₹ 4,20,000 ( Instead ₹4,50,000) 2. Individual asset's (Machine-A) Carrying amount had no prior impairment loss = ₹ 4,30,000 Then the maximum Reversal of Impairment loss is (a)Individual asset's (Machine-A) Carrying amount after impairment = ₹ 4,01,816 (b)Individual asset's (Machine-A) recoverable amount = ₹ 4,20,000 REVERSAL OF IMPAIRMENT LOSS = ₹ 18,184... Am i right sir???

latest answer

Yes, You are right.

Mohanbabu N

Mohanbabu N

CA Final

2K+

1

29

Illustration13

Financial Reporting

answered on 09-Feb-26 17:25

sir, in para 3 ABC ltd will make payment to former share holders, how it is considered as deffered consideration it looks likes remuneration for services. [Video Time Stamp: 07:39]

latest answer

If it is not linked to future service then its part of purchase consideration. The amount is dependent on just time i.e. after some years. If no payment is made if the shareholders do not work, then its compensation.

saipriya  v

saipriya v

CA Final

170

1

18