How does this work in practice?
Here is a scenario that brings it all together and enables you to see how it works in practice.
Paradise Cruising is a company that provides cruise holidays in the Caribbean.
During the year, the following financial transactions occurred:
$75m
$4m
Total revenues
Interest payments and accruals
$40m
$5m
Staff expenses
Loss on unsuccessful joint venture
$5m
$10m
Depreciation on the assets owned by the company
Tax liabilities incurred during the year
$15m
$20m
Cost of closing down part of the company’s operations during the year
Other operating expenses
IFRS 18 | HOW DOES THIS WORK IN PRACTICE?
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