1. Financial Instruments Disclosures- IFRS 7 Main features of the standard

4. A) Subsidiaries (IAS 27), associates (IAS28) or joint ventures (IAS31). Anyway, all derivatives are applicable except where they are equity instruments (IAS32).

5. B) Employees’ benefits (IAS19)

6. C) deleted

7. D) Insurance contracts under IFRS 4

8. E) FIs, contracts and obligations under share based payments (IFRS 2)

9. F) Instruments classified as equity instruments (IAS32)

10. 4. This IFRS applies to recognized FIs (IAS 39) and unrecognized ones such as loan commitments.

12. Significance of FIs for financial position and performance

13. 7. An entity will disclose information about its F I s to enable users to evaluate their significance.

14. Statement of financial position , categories of financial assets and financial liabilities

15. 8. The carrying amounts of the following will be disclosed:

16. A) financial assets at fair values through profit and loss showing separately i) upon initial recognition, ii) HFTs as per IAS 39

17. B) HTM investments

18. C) loans and receivables

19. D) AFS assets

20. E) Financial liabilities same as a) above for assets

22. A) maximum exposure to credit risks

23. B) the amount by which any related credit derivative will mitigate the credit risk

24. C) any change in fair value of a loan or a receivable on account of a change in credit risk that is determined that this change is not due to market risk or using an alternative method that will indicate that the change is due to credit risk. Market conditions will give rise to market risks.

26. A) information as per 9 © above. Changes in market conditions occasion changes in bench mark interest rate, price of another FI, a commodity price, price index etc.

27. B) difference between carrying amount and the amount payable at maturity.

28. 11. A) disclose methods used under 9© above and 10 (a) above.

30. A) the amount reclassified into and out of FV/cost

31. B) for each reporting period until de-recognition, disclose carrying amounts and fair values of all assets for current and previous periods.

32. C) if reclassified as per then disclose the facts and circumstances

35. A) nature of the asset

36. B) risks and rewards of ownership

37. C) carrying amounts and associated liabilities of such assets

39. A) carrying amounts of pledged assets as collaterals

40. B) terms and conditions of pledge

41. 15. when an entity holds collaterals and is permitted to sell or pledge even if there is no default by the owner, then disclose the following:

42. A) fair value of collateral held

43. B) fair value of collateral sold or pledged and whether there is liability to return it

44. C) terms and conditions of the collaterals

45. Allowance account for credit losses

47. Defaults and breaches

48. 18. for loans payable at the end of the reporting period; the entity should disclose :

49. A) details of any defaults

50. B) carrying amount of the loan payable in default

51. C) whether the default was remedied or the terms were renegotiated before issue of the financial statements

53. 20. an entity shall disclose the following either in the comprehensive income or in the notes:

54. A) i)net gains or losses of F I s at fair values through profit and loss (initial recognition as well as HFTs)

55. A) ii) for AFS assets showing gain / loss in other comprehensive income and the amount reclassified from equity to profit and loss

56. A) iii) HTM investments

57. A) iv) loans and receivables

59. C) fee income and expense from instruments not at fair value and also trusts where investments are held for others.

60. D) interest income on impaired assets accrued

61. E) amount of any impairment loss on any asset

62. Other disclosures – accounting policies

64. B) describe the financial instruments designated as hedging instruments and their fair values

65. C) the nature of the risks hedged

66. Cash flow hedges

67. 23 a) disclose periods for which cash flows are expected

68. B) describe any forecast transaction for which hedge accounting was used but it no longer exists

69. C) amounts recognized in the other comprehensive income

70. D) amount reclassified from equity to profit and loss

72. Fair value

73. 25. except as per para 29, for assets and liabilities, disclose fair values in a way comparable with the carrying amounts.

75. B) how fair values are determined (active market or a technique used)

76. C) state whether values are recognized based on market transactions. State whether charging one element will alter the fair value significantly.

77. D) if c) above is applied then state the amount of change in fair value

79. A) when carrying amount is approximately the fair value (short term trade receivables and payables).

80. B) for an equity investment that does not have an active market and is measured at cost as per IAS 39 or

82. A) the fact that fair values have not been disclosed as they cannot be measured reliably

83. B) explain as to why fair value cannot be measured

84. C) information about market for the instrument under review

85. D) how the entity intends to sell the instrument

87. 32. not relevant

88. Qualitative disclosures

90. A) summarize the exposure to a specific risk as you would report to the top management.

91. B) disclosures required by paras 36-42 below.

92. C) describe concentration in any risk area.

94. Disclose credit risks by class of financial instruments as follows:

95. A) the amount that best represents maximum exposure to credit risk

96. B) in respect of a) above a description of collateral

97. C) information about credit quality of financial assets

99. A) age analysis of assets that are past due

100. B) analysis of impaired assets and why they are impaired

101. C) for the above a) and b) disclose if any collaterals are held for them.

102. Collaterals and other credit enhancements obtained

103. 38. when an asset is acquired along with collaterals or guarantees and such an asset is recognized in other standards , then disclose the following:

104. A) nature and carrying amount of the asset

106. 39. for liquidity risks disclose the following:

107. A) a maturity analysis for liabilities showing remaining contractual maturities

109. A) a sensitivity analysis for each type of exposed market risk showing how profit and loss would be affected

110. B) how the sensitivity analysis is prepared

112. A) explain the method of preparing the sensitivity analysis

113. B) explain the objective of the method and any limitations

114. Other market risk disclosures

117. Level of information. The level of information should be as required under the circumstances and should be neither overburdened nor summarily aggregated so that the purpose of adequately comprehending the matter is lost with either over information or total lack of it.