Page 9 - PowerPoint Presentation

HEDGING

What Is A Hedge Item? – IFRS 9.6.3

• This is the item that exposes the entity to a specific

risk and requires hedging (for instance a foreign

creditor that exposes an entity to foreign exchange

rate risk).

• Hedge items include a recognised debtor or

creditor, a highly probable forecast transaction

and an unrecognised firm commitment.

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