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Chapter 15

IAS 37 and IAS 10

Outcome

By the end of this session you should be able to:

 explain why an accounting standard on provisions is necessary

 distinguish between legal and constructive obligations

 explain in what circumstances a provision may be made and how they should
be accounted for and measured

 define contingent liabilities and contingent assets and describe their accounting
treatment and required disclosures

 identify and account for warranties/guarantees, onerous contracts and
environmental and similar provisions

 distinguish between and account for adjusting and non-adjusting events
occurring after the reporting period

and answer questions relating to these areas.

The underpinning detail for this Chapter in your Integrated Workbook can
be found in Chapter 15 of your Study Text

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