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viernes, 22 de diciembre de 2017
Desde MH
miércoles, 20 de diciembre de 2017
Desde HBR
Do You Seek Conflict, or Avoid It?
When it comes to conflict, there are two types of people: those who avoid it and those who seek it out. Avoiders tend to shy away or even hide from disagreements. They prize harmony and relationships with their coworkers. Seekers are eager to engage in conflict when it arises (or even find ways to create it). They tend to care most about directness and honesty. Neither style is better, and your default depends on a lot of things: your past experiences with conflict, the conventions of the culture you’re from or work in, organizational context, and even gender norms. Knowing which style you gravitate toward will help you make a conscious choice about how to address a disagreement. If you’re an avoider, for example, your instinct may be to ignore the situation. But knowing that it’s your natural tendency can help you overcome your resistance to addressing the issue.
Desde Investopedia
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Desde HBR
| The New CEO Activists | |
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| From Amy Bernstein Editor, Harvard Business Review | |
| CEOs used to avoid wading into controversy, and for good reason: Speaking out on a hot-button issue would surely alienate at least some customers. But the rules have changed. Social upheaval and government paralysis have prompted many corporate leaders to join the debates on LGBT rights, immigration, race and other contentious topics. In fact, in the age of Twitter, their customers and employees often expect this of them. So how can CEOs determine whether to add their voices to an issue of political (if not necessarily strategic) urgency? And how can they do so effectively? Ronnie Chatterji of Duke’s Fuqua School and Mike Toffel of Harvard Business School explore these questions in “The New CEO Activists.” As a smart person once said, “Culture eats strategy for breakfast.” This idea is a problem for any leader trying to execute on a new plan. The challenge is that so much of culture is unspoken and assumed, embedded in mindsets and behaviors. But that doesn’t mean it’s unmanageable. Boris Groysberg and J. Yo-Jud Cheng of HBS, along with Jeremiah Lee and Jesse Price of Spencer Stuart, have thoroughly analyzed the literature on culture, distilling it into a concise, practical manual for managers. In “The Leader’s Guide to Corporate Culture,” they identify eight distinct cultural styles and explain how to work with them for the long-term health of the organization. Some other articles I’m excited about: “Ads That Don’t Overstep,” by HBS professor Leslie John, Darden School of Business professor Tami Kim, and IESE Business School professor Kate Barasz, discusses how to make sure your online targeting doesn’t creep out your customers. “The Case for Plain-Language Contracts,” by Shawn Burton, a general counsel at GE’s aviation division, describes how he and his team translated excruciatingly dense legalese into language that pretty much anyone can understand. And finally, be sure to check out “The Best Leaders Are Great Teachers,” in which Syd Finkelstein of Dartmouth’s Tuck School argues that what sets exceptional business leaders apart is their unwavering commitment to developing their people. If you’re lucky enough to have had bosses like these in your life—I certainly have—you’ll know what a difference they make. Thanks for reading, Amy Bernstein |
Desde Accounting Today
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jueves, 14 de diciembre de 2017
Desde IFRS Box
Accounting for Deemed Disposal of Associate (IAS 28)
15
Sometimes, the things can happen behind your back – without you even noticing. And, these things can affect you somehow.
Let me tell you a short story.
I participated in an audit of a big insurance company and our senior asked me to look at its investments.
Not surprisingly, this insurance company held lots of shares and in some companies it exercised either control or significant influence.
I was just going through the papers and suddenly, one thing came to my attention: the investment in a medium-sized manufacturing company (let’s call it ABC).
I remembered that a few months ago, significant foreign investor acquired controlling stake in ABC. I read it in the newspapers.
The acquisition was in fact performed in 2 separate transactions:
- The investor acquired about 40% of shares by purchasing the shares from other 2 investors, and
- ABC issued additional capital to the foreign investor.
Well, the first transaction – purchasing shares from other investors – had no impact on our client, because the other shares just changed the owner.
The problem was with the second transaction.
Why?
The reason is that ABC issued new shares and it diluted the share of my client, the insurance company.
Simply speaking – imagine you hold 20 000 shares of 1 CU each in a company with total share capital of 100 000. Thus, you have 20%.
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But, that company decides to issue new shares for 20 000 and its total share capital increases to 120 000.
You still have your 20 000, but as a result of issuing the new shares, you share drops to 16,67% (20 000/120 000).
This is exactly what happened. Although our client did literally nothing wrong (or nothing at all), they lost their share.
The first thing I went to examine – was the significant influence maintained?
I stress it all over my articles about the group accounts. The percentage of ownership is just indicator of significant influence (or control, you name it). You have to examine other factors – read more here.
What’s worse – as a result of this transaction, our client lost significant influence in ABC. And, it had a huge impact on the accounting, because when you lose the significant influence, you have to stop equity method.
End of the story. These things happen quite often. It is called “deemed disposal”.
In this article, we will deal with deemed disposals of an associate, but the rules and accounting methods apply with any other deemed disposal, too.
What is deemed disposal?
Deemed disposal of an associate or a joint venture is simply reduction in interest or share in an associate or a joint venture other than by actual disposal by the transfer of shares or liquidation.In other words – deemed disposals mostly happen “behind your back”.
How the deemed disposal may happen? Let me name just three very common ones:
- You (investor) ignore the rights issue by the associate or joint venture (or you do not acquire the new shares fully).
- An associate issues warrants or options to own shares and someone else exercise them (thus new capital is issued).
- An associate issues new shares to someone else (just as in my short story above).
Well, yes, that is a great example of deemed disposal, too.
The Facebook deemed disposal
What happened?In 2004, Mark Zuckerberg founded Facebook together with Eduardo Saverin. Saverin was responsible for funding and business development and Zuckerberg was a content guy.
However, the things did not work well and Zuckerberg decided to cut off Saverin from Facebook.
How did he do it? No, he did not purchase the Saverin’s share…
Making long story short – the company owning Facebook issued new shares and distributed them to every other shareholder, except for Saverin.
This is the very best example of deemed disposal. It reduced Saverin’s share in Facebook from 30% to below 10%.
Of course, lots of lawsuits and nasty fights followed and maybe you have seen the movie “Social network” describing this situation.
If you’re interested in the full story, you can read it here.
How to account for deemed disposal?
If you experience the deemed disposal of some share in your associate, then there are 2 different scenarios:
- You lose significant influence.
In this case, you have to:
- Discontinue equity method and recognize gain or loss on deemed disposal;
- Recognize your remaining investment as a financial asset under IFRS 9
- You keep significant influence, just the percentage of ownership is lower.
In this case, you have to:
- Recognize gain or loss on partial disposal;
- Continue equity method.
Example: Deemed disposal of an associate
Question:
Angelo plc. held 25% share in Investee ltd. On 1 January 20X1, Investee issued 40 000 new shares of 1 CU each to Giovanni, plc. at par. You have the following information:- Investee’s share capital before its increase was CU 150 000 (each share of 1 CU)
- Investee’s net asset on 31 December 20X0 were CU 200 000.
- Significant influence is lost;
- Significant influence is maintained?
Solution
Before I outline the solution for both scenarios, let’s calculate a few very useful things (needed for both cases):- Carrying amount of Angelo’s investment before deemed disposal = 25%*Investee’s net assets of CU 200 000 = CU 50 000
- Number of shares held by Angelo: 25%*150 000 = 37 500 (1 CU each)
- Angelo’s share after deemed disposal = 37 500/(150 000+40 000) = 37 500/190 000 = 19,7%
- Carrying amount before disposal (see above): CU 50 000
- Less cost of deemed disposal = – CU 50 000 x (25%-19,7%)/25% = – 10 600
- Plus share on the new contribution = 19,7%*CU 40 000 = 7 880
Here, the loss on deemed disposal of CU 2 720 arose (difference between carrying amounts before and after disposal, that is CU 50 000 less CU 47 280).
Special For You!
Have you already checked out the IFRS Kit? It’s a full
IFRS learning package with more than 30 hours of private video
tutorials, more than 100 IFRS case studies solved in Excel, more than
120 pages of handouts and many bonuses included. If you take action
today and subscribe to the IFRS Kit, you’ll get it at discount! Click here to check it out!
Now, let’s move on.
Solution #1: Significant influence is lost
As I wrote about, you MUST discontinue the equity method if significant influence is lost.Yes, maybe it’s unfair, especially if that happened without you even knowing, but that’s what you should do.
We have calculated all the necessary numbers above so let’s draft journal entries:
- Loss on disposal:
-
Profit or loss – loss on disposal of an associate: CU 2 720
-
Investment in associates: CU 2 720
-
- Discontinuing the equity method and recognizing a financial instrument:
-
Debit Other financial investments – CU 47 280
-
Credit Investments in associates – CU 47 280
-
Solution #2: Significant influence is kept
Please let me remind you here that although the share of Angelo on Investee’s net assets fell below 20%, it does NOT mean that significant influence was automatically lost.In fact, you could hold 1% and still have significant influence or even control (but let’s not talk about special purpose entities here).
If Angelo maintained significant influence, then it continues using equity method.
The problem here is that IAS 28 does not say anything about gains or losses on partial disposals when equity method is kept. However, I’ve seen it a few times and the practice is that yes, gains or losses are recognized.
The journal entry is:
-
Debit Profit or loss – loss on partial disposal of shares: CU 2 720
-
Investment in associates: CU 2 720
In these short examples, I ignored other possible complications, such as foreign currency translations or items reclassified from other comprehensive income – just make sure you take them into account.
Have your eyes open and watch your back!
Desde Inform News uk PWC
Accounting and corporate reporting
PwC guidance
IFRS 9 impairment: Revolving credit facilities and expected credit losses - PwC In depth
Many banks grant revolving credit facilities to their customers, such as credit cards and overdraft facilities. Due to their unique nature, IFRS 9 contains some specific impairment requirements, which give rise to some complex issues, both conceptually and in practice. Whilst industry thinking will almost inevitably continue to evolve, this publication brings together our latest thinking on this topic.
PwC guidance
IFRS 9 impairment: Revolving credit facilities and expected credit losses - PwC In depth
Many banks grant revolving credit facilities to their customers, such as credit cards and overdraft facilities. Due to their unique nature, IFRS 9 contains some specific impairment requirements, which give rise to some complex issues, both conceptually and in practice. Whilst industry thinking will almost inevitably continue to evolve, this publication brings together our latest thinking on this topic.
Achieving hedge accounting in practice under IFRS 9 - PwC In depth
This publication answers the questions we are asked most often by corporates applying IFRS 9's hedge accounting rules for a range of hedging strategies commonly used in practice. As entities work through the detail of the standard, they have found it more challenging and complex than they initially expected. We have therefore developed this guide to help navigate the complexity and show entities how to achieve hedge accounting in a wide range of situations, with worked examples and helpful tips too.
This publication answers the questions we are asked most often by corporates applying IFRS 9's hedge accounting rules for a range of hedging strategies commonly used in practice. As entities work through the detail of the standard, they have found it more challenging and complex than they initially expected. We have therefore developed this guide to help navigate the complexity and show entities how to achieve hedge accounting in a wide range of situations, with worked examples and helpful tips too.
IFRS 9 Impact on the pharmaceutical industry - PwC In depth
IFRS 9 will impact the pharmaceutical industry and, with an effective date of 1 January 2018, it is fast approaching. Pharmaceutical entities hold a number of financial instruments arising from their core operations (trade receivables), from risk management activities (foreign exchange and interest rate hedges), or cash management and investing activities (bonds and equity investments). The trend of complex financing structures and royalty arrangements has seen an increased focus on financial instruments in the industry. All financial assets need to be carefully assessed, to understand the classification and impairment implications. This In depth discusses some of the more significant impacts on entities within the pharmaceutical and life sciences industry.
IFRS 9 will impact the pharmaceutical industry and, with an effective date of 1 January 2018, it is fast approaching. Pharmaceutical entities hold a number of financial instruments arising from their core operations (trade receivables), from risk management activities (foreign exchange and interest rate hedges), or cash management and investing activities (bonds and equity investments). The trend of complex financing structures and royalty arrangements has seen an increased focus on financial instruments in the industry. All financial assets need to be carefully assessed, to understand the classification and impairment implications. This In depth discusses some of the more significant impacts on entities within the pharmaceutical and life sciences industry.
Tools, practice aids and publications
IFRS year end accounting reminders - December 2017
The 31 December 2017 IFRS year end accounting reminders is a publication that outlines the IFRS reporting requirements as at 31 December 2017. It the standards that apply at this date; and the standards are published but effective at later dates and hence required to be disclosed plus a summary of the latest topical issues.
IFRS year end accounting reminders - December 2017
The 31 December 2017 IFRS year end accounting reminders is a publication that outlines the IFRS reporting requirements as at 31 December 2017. It the standards that apply at this date; and the standards are published but effective at later dates and hence required to be disclosed plus a summary of the latest topical issues.
PwC's IFRS 15 the basics – Step 2 – Identify the performance obligation in the contract – PwC video
Need to identify performance obligations in a contract with a customer? This short video series intends to quickly help you with the key steps in IFRS 15. After our first two videos, the third video covers “step 2” in the so-called “5 step model” in IFRS 15. Having watched this video, you will understand how to identify the performance obligations.
Need to identify performance obligations in a contract with a customer? This short video series intends to quickly help you with the key steps in IFRS 15. After our first two videos, the third video covers “step 2” in the so-called “5 step model” in IFRS 15. Having watched this video, you will understand how to identify the performance obligations.
Applying IFRS for the real estate industry - PwC publication
This interactive publication considers the main accounting issues encountered by real estate entities and the practices adopted in the industry under IFRS. It specifically considers entities whose business model is to construct and manage real estate as opposed to those entities engaged in the construction or development of real estate principally for sale or otherwise own use. The publication is based on the experience gained from the worldwide leadership position of PwC in the provision of services to the real estate industry.
This interactive publication considers the main accounting issues encountered by real estate entities and the practices adopted in the industry under IFRS. It specifically considers entities whose business model is to construct and manage real estate as opposed to those entities engaged in the construction or development of real estate principally for sale or otherwise own use. The publication is based on the experience gained from the worldwide leadership position of PwC in the provision of services to the real estate industry.
PwC's Demystifying IFRS 9 Impairment - 15. Disclosures in 2017 year end and 2018 interim financial reports – PwC video
This latest Demystifying IFRS 9 video, looks at IFRS 9 implementation disclosures in banks' 2017 year end and 2018 interim reports and transition documents. For more information also see our In depth.
This latest Demystifying IFRS 9 video, looks at IFRS 9 implementation disclosures in banks' 2017 year end and 2018 interim reports and transition documents. For more information also see our In depth.
PwC IFRS Talks – Episode 15: IAS 7 Cash Flow Statements
PwC released the 15th episode of the new podcast series. In this series PwC professionals will help you to keep up to date and share their perspectives on an increasingly complex financial reporting environment. The 15th episode is 20 minutes of the latest IFRS News from leading IFRS Partners. IAS 7 Cash Flows Statement: top tips, common pitfalls and upcoming disclosure changes. Subscribe to our iTunes channel to receive more podcasts in the series. 20 minutes, twice a month will keep you up to date with IFRS.
PwC released the 15th episode of the new podcast series. In this series PwC professionals will help you to keep up to date and share their perspectives on an increasingly complex financial reporting environment. The 15th episode is 20 minutes of the latest IFRS News from leading IFRS Partners. IAS 7 Cash Flows Statement: top tips, common pitfalls and upcoming disclosure changes. Subscribe to our iTunes channel to receive more podcasts in the series. 20 minutes, twice a month will keep you up to date with IFRS.
IFRS overview 2017 - now available
Our IFRS overview (formerly 'IFRS pocket guide') provides a summary of the recognition and measurement requirements of International Financial Reporting Standards published up to October 2017. This quick-reference guide is intended for a variety of audiences, including finance directors, financial controllers and other members of the finance team, as well as broader management, actuaries, lawyers, merchant bankers and analysts.
Our IFRS overview (formerly 'IFRS pocket guide') provides a summary of the recognition and measurement requirements of International Financial Reporting Standards published up to October 2017. This quick-reference guide is intended for a variety of audiences, including finance directors, financial controllers and other members of the finance team, as well as broader management, actuaries, lawyers, merchant bankers and analysts.
- Dynamic risk management
- Improvements to IFRS 8
- Primary financial statements
- Wider corporate reporting
- Subsidiary as a first-time adopter (IFRS 1,' First-time adoption of IFRS') - Agenda Paper 6
- Costs considered in assessing whether a contract is onerous (IAS 37,' Provisions, contingent liabilities and contingent assets) - Agenda Paper 5
Committee’s tentative agenda decisions
- Presentation of interest revenue for particular financial instruments (IFRS 9, 'Financial instruments' and IAS 1,' Presentation of financial statements') - Agenda Paper 3
- Revenue recognition in a real estate contract that includes the transfer of land (IFRS 15,' Revenue from contracts with customers') - Agenda Paper 2A
- Right to payment for performance completed to date (IFRS 15, 'Revenue from contracts with customers') - Agenda Paper 2B
Committee’s agenda decisions
- Acquisition of a group of assets (IFRS 3,' Business combinations') - Agenda Paper 4
Other matters
- Committee work in progress - Agenda Paper 7
Desde Observatorio ITESM
La docencia será una de las profesiones más demandadas en el futuro
Ante la preocupación de que la automatización anulará puestos de empleo, el líder educativo Amar Kumar aseguró que los profesores de educación básica tendrán alta demanda debido al impacto que tienen al formar a las futuras generaciones.
Desde Observatorio ITESM
Los 7 principios del aprendizaje
“El problema es que (escuelas, gobiernos) esperan que las tabletas mejoren todo mágicamente”, señaló Jennifer Groff, ingeniera educativa del MIT Media Lab, durante el CIIE 2017. Sin embargo, para innovar en la enseñanza se necesita mucho más que tecnología. He aquí los 7 principios del aprendizaje para diseñar la educación del futuro.
jueves, 7 de diciembre de 2017
martes, 17 de octubre de 2017
Desde Observatorio ITESM
La pedagogía abierta es clave para mejorar las prácticas docentesUna práctica docente abierta incorpora a los alumnos como parte de una comunidad donde se fomenta el aprendizaje colaborativo y se desarrollan competencias transversales de comunicación escrita y oral. Además, se fomentan las publicaciones en Internet relacionadas con los contenidos de los cursos, lo que permite a los estudiantes desarrollar su portafolio digital. |
Aprendizaje híbrido: ¿el futuro de la educación superior?Un creciente número de universidades está adoptando modelos de aprendizaje híbrido que combinan la enseñanza presencial con la instrucción en línea, creando así modelos educativos flexibles y acordes a los nuevos tiempos. Pero, ¿qué es el aprendizaje híbrido? ¿Cómo funciona? |
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