Ias 19 employee benfts

Q26-

Ias 19 employee benefits, the remeasurement component is presented in the oci, as it is an estimate
which changes every year. The gains are credited, and the losses are debited.

Redundancy cost is not a part of remeasurement but rather a part of curtailment. It is part of curtailment
which means the reduction in the no. of employees in the scheme.

Basic enchantment is an obligation that Hudson must pay as compensation for terminating the
employees service regardless if the employee leaves or not Ias 19 states that such payments should be
recognized before the contract is terminated . According to ias 19 including this under remeasurement
component is wrong as they should be disclosed in the f/s separately. Furthermore, to reverse this
Hudson can recognize this as past service cost in the P/L for the year ended.

Basic should be recognized in 2012 year ended.

Q41- dec 2019

C part

Under ias 19 employee benefit, curtailment is when there is a decrease in the no of employee in the
scheme in this case the number of participants. Any losses or gains should be recognized in P/l.

The plan changes half through amending the curtailment

The additional pension is paid to only those who complete the service before the division wye is closed.

This should be disclosed and recognized in the statements 2013 early.

CSC:

From 1 jan to 1 sep= 8 months *9m= 72m

From 1 sep to 31 dec= 4 months*6m= 24m

Total csc= 24+72= 96m

Net interest:

30M * 0.03*8/12= 600K

36M*0.035*4/12= 42000
Total= 600k+350K=950k