Contingent Liabilities Flashcards
1
Q
What is the standard
A
AASB 137
2
Q
AASB 137
A
recognition, measurement and presentation of;
- provisions
- contingent assets and L
- restructuring provisions
- onerous contracts
3
Q
Provisions
A
- subset of liability - liability of uncertain timing or amount
- present obligation must exist
- warranties, restructuring provisions and onerous contracts
4
Q
Contingent
A
- possible obligation will be confirmed by the occurrence or non-occurrence of one or more uncertain future events
5
Q
Restructuring
A
- must have present obligation to restructure ( business concerned, affected locations, affected employees, expenditure to be undertaken, timing of implementation
- qualifying costs (direct and necessarly costs - cost of terminating leases, cost of dismantling plant)
6
Q
Contingent Assets
A
not recognised in the statements but disclosed in the notes
7
Q
Employee Benefits
A
-AASB 119: prescribes the measurement and recognition of expenses and liabilities arising from services provided by employees
8
Q
Short term employee benefits
A
annual leave and sick leave
9
Q
Post employment benefits
A
formal or informal arrangement under which an entity provide post employment benefits
10
Q
Defined contribution plans
A
accumulation plance where employee bears investment risk
