IFRS

IFRS 16 – Determining the Discount Rate or Incremental Borrowing Rate

Determining what discount rate (or incremental borrowing rate) to use when adopting the new IFRS 16 standard is one of the most important judgments that organisational management will need to make. Ascertaining what discount rate to use is complex and it should be noted that this decision will have the largest qualitative impact on

Getting ready for IFRS 16? You may need to review your existing processes

Companies may consider maintaining the status quo, such as using typical spreadsheet accounting. Unfortunately, this solution is likely to be a painful one if your organisation has a large volume of leases (jn excess of 100) and lease complexity exists. Accounting firms do provide bolt-on or standalone solutions that can align internal systems.

By |2019-03-21T23:09:34+00:00July 23rd, 2018|Finance, IFRS 16 & AASB 16, SAP|