Period beyond one year outside the entity's control

Learning objectives

• Justify retaining the classification when the period exceeds one year because of circumstances beyond the entity's control, the entity remaining committed to its plan.L3, L4

Normative references

• IFRS 5 §9A period to complete the sale exceeding one year does not preclude classification if the delay is caused by events or circumstances beyond the entity's control and the entity remains committed to its plan (examples in Appendix B).

Original summaries of the paragraphs (reference register), never a quotation of the standard.

1 question

• Orvane classified a site as held for sale in March. Fourteen months later the sale has not closed because the competition authority has not yet ruled on the buyer. Orvane kept up its efforts and has not changed its plan. Which conclusion is consistent with IFRS 5?L4