®

IFRS Standards
Highlighting Guide
Financial Accounting and Reporting
2023

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IFRS® Standards Highlighting Guide

Rules and Tips

Rules

You are permitted to take the IFRS Standards book

into your examination, however you must adhere to the rules below:

 You cannot write any words in your IFRS Standards book, except for
your name inside the front page

 You can highlight, side-line and underline

 You can use sticky page markers, but you cannot write on them

 You cannot fold or tear any pages.

The ICAEW will do random checks by looking through IFRS Standards books
in the examination. If you are found to have broken these rules then your exam
may not be marked, and you may face dismissal from the ICAEW.
Further details can be located on the ICAEW website here.
Note: The IFRS Standards book is not available within the ICAEW digital bookshelf.
A physical book is still used.

Tips

The following tips will help you to make the most of your IFRS Standards open book
in your exam:

 Highlight the disclosure paragraphs in a different colour to the rest of the

standard so they are easy to distinguish in the exam.

 Have pages that you think you will use the most marked with a different
colour page tab to the rest.

 Familiarise yourself with the IFRS Standards book before going into the
exam – you don’t want to be looking for something for the first time in
your exam as this will waste time. Instead you should have a clear idea
of the things that are useful and that you intend to use in advance.

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 IFRS® Standards Highlighting Guide

Books

The standards are split into 3 books:

 Book A contains the standard itself where you will find the rules.

 Book B contains accompanying guidance. You may find some useful

examples and pro formas here.

 Book C contains the ‘basis for conclusions’. This explains the

development of the accounting standard. It is unlikely to be useful in the
FAR exam.

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IFRS® Standards Highlighting Guide

Highlighting Guide

Book A Book B

Conceptual Framework

 Objectives: Paras 1.2, 1.10

 Qualitative Characteristics: Paras

2.6-2.7, 2.16, 2.30, 2.34, 2.36

 Framework: Paras 4.2-4.25, 4.26-4.47,

4.63-4.67, 4.68-4.69

 Recognition: Paras 5.6-5.8, 5.26

IFRS 3: Business Combinations

 Paras 5, 8-9, 10-14, 18-19, 22-23, 32,

34, 36, 37-38, 39, 45-50, 53, 58

 Appendix A

IFRS 5: Non-current Assets Held for Sale

and Discontinued Operations

 Paras 6-8, 12, 13, 15, 18, 25, 31, 32

 Disclosure: Paras 33-34, 37, 38 and 41

IFRS 10: Consolidated Financial

Statements
 Paras 6 and 7
 Appendix A

IFRS 11: Joint Arrangements

 Paras 1-12,14-16

IFRS 13: Fair Value Measurement

 Para 9

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IFRS 15: Revenue from Contracts with

Customers

 Paras 1, 2, 9, 10, 22, 27, 31, 35, 38, 45,

47, 55, 56, 60, 63, 64, 66, B20, B28-30,
B77, B79,

 Disclosure: Para 110

 Appendix A & B

IAS 1: Presentation of Financial Statements IAS 1: Presentation of Financial

Statements
 Paras 7, 10, 15, 23, 25-26, 27-28, 29-31,
32-35, 38, 40-41, 42-44, 45-46,  Implementation guidance
54, 60-65, 69, 77-79, 81-82, contains pro forma statements
85-98, 106-110, 112, 113, 117,
122, 125, 137-138

IAS 2: Inventories

 Paras 1, 6, 9, 10, 13, 25

 Disclosure: Para 36 and 38

IAS 7: Statement of Cash Flows IAS 7: Statement of Cash Flows

 Paras 6, 10, 13-14, 16-20  Appendix A

 Disclosure: 39, 40, 43, 44, 50

IAS 8: Accounting Policies, Changes in

Accounting Estimates and Errors

 Definitions para 5: Accounting policies,

change in accounting estimate, prior
period errors

 Paras 7, 10, 13, 14, 16, 17,19-22, 23-

27, 36, 37, 42

 Disclosure: Paras 39, 49

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IAS 10: Events after the Reporting Period

 Paras 3, 8, 9, 10, 14, 22

 Disclosure: Para 17, 21

IAS 16: Property, Plant and Equipment

 Paras 6, 7, 10, 13, 15, 16, 17, 19-22,

29-31, 34, 36, 39, 40, 41, 43, 48, 51,
55, 60, 61, 67, 68

 Disclosure: Paras 73, 74, 77

IFRS 16: Leases IFRS 16: Leases

 Paras 3, 9, 18, 22-27, 47, 98-100, 103,  Illustrative examples including

B8, Appendix A sale and leaseback
transactions
 Disclosures: Paras 51, 53

IAS 20: Accounting for Government Grants

and Disclosure of Government Assistance

 Paras 3, 7, 8, 12, 17, 20, 24, 29, 32,

34, 35

 Disclosure: Para 39

IAS 21: The Effects of Changes in Foreign

Exchange Rates

 Paras 8, 9, 16, 21, 23, 28

IAS 23: Borrowing Costs

 Paras 1, 5, 8, 10, 12-14, 17, 20, 22, 24

 Disclosure: Para 26

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IAS 24: Related Party Disclosures

 Paras 9-13

 Disclosures: Paras 17,18

IAS 28: Investments in Associates and

Joint Ventures

 Definitions para 3

 Paras 5, 6, 9, 10

IAS 32: Financial instruments: Presentation

 Paras 11, 15, 16 (first section and part a),

17, 28-29, 33, 35, 37, 42

 Paras AG1-AG12

 Paras AG25 and AG26

IAS 33: Earnings per Share IAS 33: Earnings per Share

 Paras 9, 10, 12, 14, 19, 28, Appendix A2  Illustrative example 4 rights
issue
 Disclosure: Para 70

IAS 36: Impairment of Assets

 Definitions para 6: Impairment loss,

recoverable amount, value in use

 Paras 9, 10, 12, 30, 33, 44, 59, 60, 61,

63

 Disclosures: Paras 126 and 130

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IAS 37: Provisions, Contingent Liabilities IAS 37: Provisions, Contingent

and Contingent Assets Liabilities and Contingent Assets

 Definitions para 10: Constructive  Appendix B and C

obligation, contingent liability, contingent
asset

 Paras 14, 23, 27, 31, 36, 45, 51, 53, 54,
59, 61, 63, 66, 68, 72, 78, 80

 Disclosures: Paras 85, 86, 89

IAS 38: Intangible Assets

 Definitions para 8: Asset, development,

intangible asset, research

 Paras 3, 12, 13, 20, 21, 24, 25, 27, 33,

34, 35, 42, 48, 54, 57, 63, 65, 68, 71,
72, 75, 97, 107-109

 Disclosure: Paras 118, 122, 126.