I am from Nigeria and i love your video lectures. You are calm and relaxed in passing the lessons across. I look forward to learning more from RONAS Academy
Hey, thanks for this . Your insight into this is refreshing. I love the way you handled the FA split into Debt and equity before you started talking about their classification. It makes it easy to follow. Well done Bro. Check again the split of compound instrument. Total to deduct from the face value of the instrument is the PV of the principal and the PV of the interest. It is the 2 PVs that constitute the liability. I think you omitted the PV of the principal , that’s why your deduction was small. Well done Bro.
You explained it very well Can you please do Journal entries and also do the schedule or how we can use the financial calcator to calculate effective interest and the closing balance Kind regards
Thank you so much sir You made it very simplied for me But please I’m looking for your videos on financial asset with solved questions and other financial instruments like hedging, derivates, embedded derivates
So if an entity sells one of its assets but they do not mention that risk and rewards were transferred to another party we do not derecognise it from the books
The standard provide guidelines in derecognizing financial asset when it comes to risk and reward being transferred. The guidelines are below for your perusal. These tests can be framed as a series of questions. 1 Have the contractual rights to cash flows of the financial asset expired? If the answer is “yes” - derecognize the financial asset If the answer is “no” - ask the next question 2 Has the asset been transferred to another party? If the answer is “no” - the asset is retained (not derecognized) If the answer is “yes” - ask the next question 3 Have substantially all of the risks and rewards of ownership passed? If the answer is “yes” - derecognize the financial asset If the answer is “no” - the asset is retained (not derecognized) If the answer is “the risks and rewards are neither passed nor retained (i.e. some are passed but some kept)” - ask the next question 4 Has the asset been transferred in a way such that risks and rewards of ownership have neither passed nor been retained but control has been lost. If the answer is “yes” - derecognize the financial asset If the answer is “no” - the asset is retained (not derecognized) This all sounds very complicated but what it means is that a financial asset is derecognized if one of three combinations of circumstances occur: The contractual rights to the cash flows from the financial asset expire; or The financial asset is transferred and substantially all of the risks and rewards of ownership pass to the transferee; or The financial asset is transferred, substantially all of the risks and rewards of ownership are neither transferred nor retained but control of the asset has been lost. Thank you.
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Ronas: Comprehending the Complications
I am from Nigeria and i love your video lectures. You are calm and relaxed in passing the lessons across. I look forward to learning more from RONAS Academy
Thanks for the feedback sir
God bless you, you simplified it for me ❤
Great and simple explanation
Hey, thanks for this . Your insight into this is refreshing. I love the way you handled the FA split into Debt and equity before you started talking about their classification. It makes it easy to follow. Well done Bro. Check again the split of compound instrument. Total to deduct from the face value of the instrument is the PV of the principal and the PV of the interest. It is the 2 PVs that constitute the liability. I think you omitted the PV of the principal , that’s why your deduction was small. Well done Bro.
Well noted.
Many thanks sir
Wonderful presentation
Thanks for the simplification
God bless you
Amen! Thanks for your feedback.
Amen! Thanks for your feedback.
I GIVE YOU FIVE THUMBS UP. A VERY COMPREHENSIVE AND EASY TO UNDERSTAND SUMMAY
powerful voice
You are an expert brother. Well expressed. Keep it up.
Thanks Please
You explained it very well
Can you please do Journal entries and also do the schedule or how we can use the financial calcator to calculate effective interest and the closing balance
Kind regards
I real like your vedios bro,they are trully helpful to me
Thanks for the feedback
❤❤❤
Thank you so much, it last I understand
Thanks for your feedback
Thank you so much sir
You made it very simplied for me
But please I’m looking for your videos on financial asset with solved questions and other financial instruments like hedging, derivates, embedded derivates
@chiamakambah5786 yet to uploaded
Thank you sire. Keep it up.
nice presentation
So if an entity sells one of its assets but they do not mention that risk and rewards were transferred to another party we do not derecognise it from the books
The standard provide guidelines in derecognizing financial asset when it comes to risk and reward being transferred. The guidelines are below for your perusal.
These tests can be framed as a series of questions.
1 Have the contractual rights to cash flows of the financial asset expired?
If the answer is “yes” - derecognize the financial asset
If the answer is “no” - ask the next question
2 Has the asset been transferred to another party?
If the answer is “no” - the asset is retained (not derecognized)
If the answer is “yes” - ask the next question
3 Have substantially all of the risks and rewards of ownership passed?
If the answer is “yes” - derecognize the financial asset
If the answer is “no” - the asset is retained (not derecognized)
If the answer is “the risks and rewards are neither passed nor
retained (i.e. some are passed but some kept)” - ask the next
question
4 Has the asset been transferred in a way such that risks and rewards of
ownership have neither passed nor been retained but control has been lost.
If the answer is “yes” - derecognize the financial asset
If the answer is “no” - the asset is retained (not derecognized)
This all sounds very complicated but what it means is that a financial asset is
derecognized if one of three combinations of circumstances occur:
The contractual rights to the cash flows from the financial asset expire; or
The financial asset is transferred and substantially all of the risks and
rewards of ownership pass to the transferee; or
The financial asset is transferred, substantially all of the risks and rewards
of ownership are neither transferred nor retained but control of the asset
has been lost.
Thank you.
u Ronas, u have to give practical examples, the theories are not enough
Noted Sir