Australia

Details

  • Service: Audit, Financial Statement Audit, Financial Reporting & Accounting Standards, Accounting Advisory Services, International Financial Reporting Standards (IFRS)
  • Type: Regulatory update
  • Date: 24/01/2011

Reporting Updates

Reporting Updates
Reporting Updates (formerly known as Flash Reports) outline changes occurring within the Australian financial reporting environment.

11RU-005 Accounting issues arising from the Queensland/Victorian floods 

This Reporting Update provides an overview of the key accounting issues arising out of the recent flood disasters in Queensland and Victoria.

Entities impacted by the floods before the reporting date, need to consider key accounting issues arising out of the floods, including the accounting for:

 

  • items of property, plant and equipment (PP&E) and inventory damaged or destroyed in the floods
  • compensation rights for damaged or destroyed items of PP&E, inventory and lost revenue/profits resulting from the floods
  • costs of restoring, purchasing or constructing new items of PP&E
  • other considerations including the need to recognise provisions for onerous contracts, the potential for breaching loan covenants, the accounting for future losses, clean up costs, impact on hedge accounting and going concern assessments.
IFRS Briefing Sheets - International financial reporting updates