The objective of this Standard is to ensure that appropriate recognition criteria and measurement bases are applied to provisions, contingent liabilities and contingent assets and that sufficient information is disclosed in the notes to enable users to understand their nature, timing and amount.
1 This Standard shall be applied by all entities in accounting for provisions, contingent liabilities and contingent assets, except:
- those resulting from executory contracts, except where the contract is onerous; and
- those covered by another Standard.
2 This Standard does not apply to financial instruments (including guarantees) that are within the scope of IFRS 9 Financial Instruments.
3 Executory contracts are contracts under which neither party has performed any of its obligations or both … Read more