Skip to main content
IFRS Academy

CERTYNEX IFRS ACADEMY

My account — Professional

Search the Academy

Home
My learning path
Exercises & quizzes
Cases
Workpapers
Exams
My progress

Workpapers

Workpaper template

WorkpaperIFRS 5 — Non-current Assets Held for Sale and Discontinued OperationsL2 · L3 · L4

Discontinued operation file: component, single post-tax amount, analysis and comparatives

4 missions8 sections to document60 min
Prepared by
AI-assisted draft
Reviewed by
Not reviewed — human review required
Status
Published

Objective of the workpaper

For each period presented (one instance per period: current year and comparative year), describe the component and its distinguishable cash flows, then enter the revenue, expenses and income tax of the period (datum of the file). The file computes the post-tax result of the component and then the single amount: post-tax result of the period, plus the post-tax result of the disposal, less the post-tax measurement loss. The tax on the measurement and on the disposal is a datum of the file. Then justify the boundary of the component and whether it represents a separate major line of business or geographical area: the standard sets no numerical threshold.

8 sections · 18 blocks · 2 calculations · 0 entries

  • IFRS 5 §31
  • IFRS 5 §32
  • IFRS 5 §33
  • IFRS 5 §33A
  • IFRS 5 §34
  • IFRS 5 §41

Work this workpaper as a mission

Each case that uses this template opens in the mission workspace: data, analysis, calculation, entries, conclusion and review, with your progress saved.

4 instances from the cases: the calculations and entries below are run by the calculation engine.

File and entity
Discontinued operation: component, definition, single post-tax amount, comparatives and group loss
Case tasks documented here
  • Is the division a discontinued operation? Justify, without a numerical threshold.
  • Compute the post-tax result of the division for 20X6 and for 20X5.
  • Compute the single amount for 20X6 and that of the 20X5 comparative.
  • How should the single amount, its analysis and the comparatives be presented?
1

Inputs

Inputs

  • Component: operations, distinguishable cash flows, link with the rest of the entity and disposal plan

    Text

    DIVISION_EMBALLAGE_USINES_ET_DIRECTION_PROPRES

  • Revenue of the component for the period

    Number

    1,200,000

  • Expenses of the component for the period

    Number

    1,050,000

  • Income tax of the component (datum of the file)

    Number

    45,000

  • Post-tax measurement loss (datum of the file)

    Number

    64,000

  • Post-tax result of the disposal (datum of the file)

    Number

    3,000

  • Period presented

    Choice

    Current period

    Current period / Restated comparative period

2

Supporting evidence

Evidence

  • Evidence obtained and referenced (category, document reference)

    EvidenceRequired

3

Analysis of the component

Analysis

IFRS 5 §31IFRS 5 §32IFRS 5 §33IFRS 5 §33AIFRS 5 §34IFRS 5 §41

  • Points reviewed: component, definition, single amount, analysis, separate statement, cash flows, comparatives

    ChecklistRequired

    • Clearly distinguishable component checked
    • Definition of a discontinued operation tested
    • Single amount composed after tax
    • Analysis of the single amount prepared
    • Presentation in a separate statement checked
    • Cash flows of the component examined
    • Comparative periods restated
4

Calculations

Calculations

IFRS 5 §31IFRS 5 §32IFRS 5 §33IFRS 5 §33AIFRS 5 §34IFRS 5 §41

  • Post-tax result of the component for the period

    Calculation

    105,000

    Revenue of the component for the period ; − Expenses of the component for the period ; − Income tax of the component (datum of the file)

  • Single post-tax amount of the discontinued operation

    Calculation

    44,000

    Post-tax result of the component for the period ; Post-tax result of the disposal (datum of the file) ; − Post-tax measurement loss (datum of the file)

5

Judgements

Judgment

IFRS 5 §31IFRS 5 §32IFRS 5 §33IFRS 5 §33AIFRS 5 §34IFRS 5 §41

  • Boundary of the component

    JudgmentRequired

    Component clearly distinguishable from the rest of the entity

    Component clearly distinguishable from the rest of the entity / Set not distinguishable from the rest of the entity

    Rule and cross-reference: a component of an entity comprises operations and cash flows that can be clearly distinguished, operationally and for financial reporting purposes, from the rest of the entity (IFRS 5, para. 31).

  • Rationale: operations, cash flows, separate financial information, alternative rejected

    TextRequired

  • Separate major line of business or geographical area

    JudgmentRequired

    Separate major line of business or geographical area

    Separate major line of business or geographical area / Part of a single co-ordinated disposal plan / Not a discontinued operation

    Rule and cross-reference: a discontinued operation is a component that has been disposed of or is classified as held for sale and that represents a separate major line of business or geographical area of operations, or is part of a single co-ordinated plan to dispose of such a line or area, or is a subsidiary acquired exclusively with a view to resale (IFRS 5, para. 32). No numerical threshold is set.

  • Rationale: place of the component in the entity, distinct nature, disposal plan, alternative rejected

    TextRequired

6

Conclusion

Conclusion

  • Qualification, single amount and analysis submitted to the reviewer

    ConclusionRequired

7

Disclosures

Disclosure

IFRS 5 §33IFRS 5 §33AIFRS 5 §34IFRS 5 §41

  • Disclosures: single amount, analysis, note on assets held for sale, comparatives

    ChecklistRequired

    • Single amount presented in the statement of profit or loss
    • Analysis presented in the notes or in the statement
    • Note on the asset or group held for sale prepared
    • Analysis provided for all periods presented
8

Normative references

References

  • Paragraphs cited in this workpaper and their verification status

    References

9

Checks and financial statement impact

  • Judgement on the component documentedPass
  • Judgement on the line of business documentedPass
Assets
0
Liabilities
0
Profit or loss
0
OCI
0
Equity
0