Accounting for Maritime Carriers

Course Info

Length: 1 Week

Type: Online

Available Dates

Fees

    No available dates

Course Details

Course Outline

5 days course

Accounting for contracts in accordance with IFRS 15

  • Identification of contract with the appropriate customers/clients
  • Identification of shipping obligations with the contract
  • Determination of the shipping transaction price
  • Allocation of the transaction price to the performance obligations
  • Recognition of shipping revenue when each performance obligation is completed

Accounting for Property Plant and Equipment (IAS 16) and Government Grants (IAS 20) and Investment Property (IAS 40)

  • Cost or revaluation model
  • Component approach
  • Major maintenance and overhaul costs (including drydocking and special survey costs) 
  • Impairment of long-lived and indefinite-lived assets
  • Measurement of shipping assets at recognition, after recognition and derecognition 
  • Revaluation of shipping assets
  • Depreciation of shipping assets 
  • IFRS 13 - Fair Value Measurement
  • IFRS 9 - Financial Instruments (Hedge Accounting)
  • Treatment of borrowing costs 
  • Vessel government grant accounting
  • Treatment of dry docking

Fair Value Accounting in Shipping

  • Lease accounting in shipping
  • Sale-leaseback transactions
  • Valuation of Financial Instruments
  • Expected credit loss model
  • Hedge accounting in shipping (fair value hedge and cash flow hedge)
  • Accounting for debt modification
  • Accounting for complex financial instruments.

Understanding and applying IFRS 10 in the consolidation of financial statements

  • Preparation of consolidated Income Statement
  • Preparation of consolidated SOFP
  • Preparation of consolidated Statement of Cash Flows
  • Treatment of Non-controlling interests in shipping business
  • Treatment of Goodwill in shipping business
  • Treatment of intra-group items and unrealised profits

Joint Arrangements in accordance with IFRS 11

  • Treatment of joint arrangements, joint control, joint operations and joint ventures
  • Preparation of Joint Venture Accounts in accordance with IAS 28
  • Joint Venture Accounts for interests in Accordance with IFRS 9
  • Disclosure on interests in other entities in accordance with IFRS 12.

 Key reporting accounting and reporting issues

  • Going concern assessment
  • Fair valuation assessment of vessels
  • Drydocking, construction, retrofit delays. 
  • Impairment assessment of vessels
  • Impairment assessment of goodwill
  • Accounting for leasing in shipping in accordance with IFRS 16

Treatment of VAT and sales tax in shipping

  • Input VAT
  • Output VAT
  • Quarterly reporting, Annual Accounting and Cash Accounting

Course Video