IAS 20 – Accounting for Gov. Grants & IAS 19 – Employee Benefits & IFRS 17 – Insurance Contracts
4 Hours, 18 Feb 2024, 10:00 AM-2:00 PM
The objectives of IAS 19 Employee benefits include:
1. Recognition and
Measurement of Employee Benefits: aims to establish principles for recognizing and measuring the cost of
employee benefits. (This includes short-term benefits, such as wages and salaries,
as well as long-term benefits, such as pensions).
2. Consistency in
seeks to promote consistency in the accounting treatment of employee benefits
across different entities.
Representation of Financial Position: aims to ensure that the financial statements provide
an accurate representation of an entity's financial position by requiring the
recognition of the costs associated with employee benefits.
disclosure requirements to ensure that relevant information about employee
benefits is disclosed in the financial statements. (information about the
nature and types of employee benefits, the methods and assumptions used in
measuring these benefits).
5. Consideration of
provides guidance on the accounting treatment for termination benefits,
encouraging entities to recognize the cost of termination benefits when they
are incurred or when the entity has a formal plan for such benefits.
The main objectives of IAS 20 Accounting for Government
1. Recognition and
Presentation of Government Grants: aims to establish principles for recognizing and presenting government
grants in the financial statements.
2. Fair Presentation
of Financial Statements:
seeks to ensure that financial statements present a true and fair view of an
entity's financial position, financial performance, and cash flows.
Between Government Assistance and Government Grants: aims to provide guidance on distinguishing
between government assistance and government grants.
4. Conditions Attached
to Government Grants:
provides guidance on how to account for grants with specific conditions, such
as performance-related conditions, and how to recognize these grants over the
periods in which the conditions are fulfilled.
The objectives of IFRS 17 Insurance contracts include:
1. Improved Financial
Reporting: provide more
relevant and transparent information about an insurance company's financial
performance and financial position.
Communication of Risk and Financial Position: it requires insurers to provide more comprehensive
information about the risks associated with insurance contracts and the impact
of those risks on the company's financial position.
3. Timely Recognition
of Profit and Loss: it
introduces the "building block" approach for measuring insurance
4. Better Information
for Investors and Analysts:
provide investors, analysts, and other stakeholders with clearer and more
relevant information about an insurance company's performance and financial