![]() ![]() at arm’s length from the point of view of market participants (parties whose sole relationship with the entity is in the capacity of management, are deemed to be unrelated third parties for financial instrument purposes).Ĭosts of the transaction do not include debt premiums or discounts, financing costs or internal administrative costs. When a financial asset is originated or acquired or a financial liability is issued or assumed in a related party transaction, the transaction should be measured in accordance with IAS 24, Related Party Transactions, i.e. Transaction costs expected to be incurred on transfer or disposal of a financial instrument are not included in the initial or subsequent measurement of the financial instruments. ![]() ![]() costs of the transaction do not include financing fees, debt premiums or discounts.ĭirectly attributable transaction costs relating to financial instruments acquired and recognised at amortised costs are included in the calculation of amortised cost using the effective interest method and consequently are recognised in profit or loss over the life of the instrument. (costs of the transaction include expenditures such as legal fees, reimbursement of the lender’s administrative costs and appraisal costs associated with a loan. Directly attributable costs of the transaction – incremental costs that are directly attributable to the acquisition, issue or disposal of a financial asset or financial liability. IFRS 9: Directly attributable transaction costs are added to or deducted from the carrying value of those financial instruments that are not measured subsequently at fair value. Directly attributable expenditure includes, for example, professional fees for legal services, property transfer taxes and other transaction costs.
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