ipsas 29—financial instruments: recognition and measurement - IFAC

FINANCIAL INSTRUMENTS: RECOGNITION AND MEASUREMENT
comparative period, would have met the criteria in paragraph 10(b)(i),
10(b)(ii), or 13 at the date of initial recognition.
118. Except as permitted by paragraph 119, an entity shall apply the
derecognition requirements in paragraphs 17–39 and Appendix A
paragraphs AG51–AG67 prospectively. If an entity derecognized financial
assets under another basis of accounting as a result of a transaction that
occurred before the adoption of this Standard and those assets would not
have been derecognized under this Standard, it shall not recognize those
assets.
119. Notwithstanding paragraph 118, an entity may apply the derecognition
requirements in paragraphs 17–39 and Appendix A paragraphs AG51–
AG67 retrospectively from a date of the entity’s choosing, provided that
the information needed to apply this Standard to assets and liabilities
derecognized as a result of past transactions was obtained at the time of
initially accounting for those transactions.
120. Notwithstanding paragraph 114, an entity may apply the requirements in
the last sentence of paragraph AG108, and paragraph AG109, in either of
the following ways:
(a) Prospectively to transactions entered into after the adoption of this
Standard; or
(b) Retrospectively from a date of the entity’s choosing, provided that
the information needed to apply this Standard to assets and
liabilities as a result of past transactions was obtained at the time
of initially accounting for those transactions.
121. An entity shall not adjust the carrying amount of non-financial assets and
non-financial liabilities to exclude gains and losses related to cash flow
hedges that were included in the carrying amount before the beginning of
the financial year in which this Standard is first applied. At the beginning
of the financial period in which this Standard is first applied, any amount
recognized directly in net assets/equity for a hedge of a firm commitment
that under this Standard is accounted for as a fair value hedge shall be
reclassified as an asset or liability, except for a hedge of foreign currency
risk that continues to be treated as a cash flow hedge.
122. If an entity has designated as the hedged item an external forecast
transaction that:
(a) Is denominated in the functional currency of the entity entering into
the transaction;
(b) Gives rise to an exposure that will have an effect on consolidated
surplus or deficit (i.e., is denominated in a currency other than the
economic entity’s presentation currency); and
IPSAS 29 1066