I

Definition

An asset is identifiable if it either:

• (a) is separable, ie capable of being separated or divided from the entity and sold, transferred, licensed, rented or exchanged, either individually or together with a related contract, identifiable asset or liability, regardless of whether the entity intends to do so; or
• (b) arises from contractual or other legal rights, regardless of whether those rights are transferable or separable from the entity or from other rights and obligations.

Definition

The amount by which the carrying amount of an asset exceeds its recoverable amount.

Definition

The more clearly determinable of either:

• (a) the prevailing rate for a similar instrument of an issuer with a similar credit rating; or
• (b) a rate of interest that discounts the nominal amount of the instrument to the current cash sales price of the goods or services.

Definition

Increases in economic benefits during the accounting period in the form of inflows or enhancements of assets or decreases of liabilities that result in increases in equity, other than those relating to contributions from equity participants.

Definition

A method whereby profit or loss is adjusted for the effects of transactions of a non-cash nature, any deferrals or accruals of past or future operating cash receipts or payments, and items of income or expense associated with investing or financing cash flows.

Definition

An identifiable non-monetary asset without physical substance.

Definition

The increase during a period in the present value of a defined benefit obligation which arises because the benefits are one period closer to settlement.

Definition

The risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates.

Definition

Standards and Interpretations adopted by the International Accounting Standards Board (IASB). They comprise:

• (a) International Financial Reporting Standards;
• (b) International Accounting Standards; and
• (c) Interpretations developed by the International

Financial Reporting Interpretations Committee (IFRIC) or the former Standing Interpretations Committee (SIC).

Definition

The difference between the fair value of the shares to which the counterparty has the (conditional or unconditional) right to subscribe or which it has the right to receive, and the price (if any) the counterparty is (or will be) required to pay for those shares.

For example, a share option with an exercise price of CU15,* on a share with a fair value of CU20, has an intrinsic value of CU5.

Definition

Assets:

• (a) held for sale in the ordinary course of business;
• (b) in the process of production for such sale; or
• (c) in the form of materials or supplies to be consumed in the production process or in the rendering of services.

Inventories encompass goods purchased and held for resale including, for example, merchandise purchased by a retailer and held for resale, or land and other property held for resale. Inventories also encompass finished goods produced, or work in progress being produced, by the entity and include materials and supplies awaiting use in the production process. In the case of a service provider, inventories include the costs of the service, as described in IAS 2 paragraph 19, for which the entity has not yet recognised the related revenue (see IAS 18).

Definition

The acquisition and disposal of long-term assets and other investments not included in cash equivalents.

Definition

A party to a joint venture that does not have joint control over that joint venture.