Course 3200

International Public Sector Accounting Standards (IPSAS) - Accrual

Basis (3 days)
Course Summary

International Public Sector Accounting Standards (IPSAS) are accounting standards for use by public sector
entities around the world in the preparation of financial statements. The International Public Sector Accounting
Standards Board (IPSASB) focuses on the accounting and financial reporting needs of national, regional and
local governments, related governmental agencies, and the constituencies they serve. Examples include the
European Union, the Organization of Economic Cooperation and Development (OECD), and the United Nations.

This three-day course provides a comprehensive overview of the most important requirements for understanding
and applying International Public Sector Accounting Standards (IPSAS) on the accrual basis.

The program includes: Introduction to IPSAS Reporting and disclosure (IPSAS 1 Presentation of Financial
Statements, IPSAS 2 Cash Flow Statements, IPSAS 3 Net Surplus or Deficit for the Period, Fundamental Errors
and Changes in Accounting Policies, IPSAS 14 Events After the Reporting Date) Non-current Assets (IPSAS 17
Property, Plant and Equipment, IPSAS 16 Investment Property, IPSAS 5 Borrowing Costs, IPSAS 31 Intangible
Assets, IPSAS 21 & 26 Impairment of Non-Cash-Generating & Cash-Generating Assets) Revenues and Related
Costs (IPSAS 9 Revenue from Exchange Transactions, IPSAS 23 Revenue from Non-Exchange Transactions
(Taxes and Transfers), IPSAS 12 Inventories) Liabilities & Expenses (IPSAS 19 Provisions, Contingent Liabilities
and Contingent Assets, IPSAS 25 Employee Benefits) Financing and Financial Instruments (IPSAS 13 Leases,
IPSAS 4 The Effect of Changes in Foreign Exchange Rates, IPSAS 28, 29 and 30 Financial Instruments
Presentation, Measurement and Recognition and Disclosure) Consolidations & Strategic Investments (IPSAS 6
Consolidated Financial Statements and Accounting for Controlled Entities, IPSAS 7 Accounting for Investments in
Associates, IPSAS 8 Financial Reporting of Interests in Joint Ventures) Other Presentation & Disclosure
Standards (IPSAS 18 Segment Reporting, IPSAS 20 Related Party Disclosures, IPSAS 24 Presentation of
Budget Information in Financial Statements, IPSAS 22 Disclosure of Financial Information about the General
Government Sector) Transitioning to the accrual basis of accounting Expected future developments.

Introduction

IPSAS aims to improve the quality of general purpose financial reporting by public sector entities, leading to
better informed assessments of the resource allocation decisions made by governments, thereby increasing
transparency and accountability. The International Public Sector Accounting Standards Board (IPSASB) issues
accounting standards and other guidance relating to the financial reporting needs of national, regional and local
governments, governmental agencies, and the constituencies they serve. The International Public Sector
Accounting Standards (IPSAS) that have been issued by the IPSASB represent the first and only comprehensive
set of authoritative international financial reporting standards for governments and other public sector entities.

IPSAS are based on the International Financial Reporting Standards International Financial Reporting Standards
(IFRS), formerly known as IAS. IFRS are issued by the International Accounting Standards Board (IASB).
IPSASB adapts IFRS to a public sector context when appropriate. In undertaking that process, the IPSASB
attempts, wherever possible, to maintain the accounting treatment and original text of the IFRS unless there is a
significant public sector issue which warrants a departure.

Course 3200: International Public Sector Accounting Standards (IPSAS) - Accrual Basis (3 days)
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The IPSASB’s goal is to serve the public interest by developing high quality accounting standards for use by
public sector entities around the world in the preparation of general purpose financial statements. This will
enhance the quality and transparency of public sector financial reporting and strengthen public confidence in
public sector financial management. In pursuit of this objective, the IPSASB supports the convergence of
international and national public sector accounting standards and the convergence of accounting and statistical
bases of financial reporting where appropriate.

A number of countries have transformed their accounting systems to accrual accounting based on IPSAS.
Several other countries have adopted the Cash Basis IPSAS as a first step to future full accrual accounting based
on the IPSAS. The European Commission (EC), the International Federation of Accountants (IFAC), and the
Organization for Economic Co-Operation and Development (OECD) are now using IPSAS. The United Nations
(including all their agencies) are currently making the transition to IPSAS.

This three-day course provides an overview of the most important requirements for preparing financial statements
and disclosures under accrual based IPSAS. The program includes the 2009 accounting standards, IPSAS 31
Intangible Assets and the new financial instruments standards IPSAS 28, 29 and 30 as well as overviews of the
exposure drafts on accounting for controlled entities.

The IPSAS accounting and disclosure requirements are explained in clear, simple language and illustrated with
model financial statements and real-world examples. Application of the various standards is illustrated through
the use of short case studies.

In addition to a review of current accrual-based IPSAS, our expert instructors provide guidance on transitioning to
the accrual basis. Course delegates also receive up-to-date information on IPSASB’s current exposure drafts and
projects.

This program answers questions such as:

o What are the current requirements for presentation of accrual-based IPSAS financial statements and related
disclosures?
o Where can guidance on IPSAS be found?
o How have the IPSAS recently changed?
o What are the likely future requirements of IPSAS? What practical issues commonly arise when implementing
IPSAS?
o What are the recommendations for transitioning from the cash to the accrual basis of accounting?

Prerequisites

Understanding of basic accounting principles based on any national standards in the public sector.
No advance preparation is required for this course.

Course Level

Overview

Topics

Course 3200: International Public Sector Accounting Standards (IPSAS) - Accrual Basis (3 days)
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o Introduction to IPSAS
o Brief history
o Scope of IPSAS
o Sources of guidance
o Accounting for Government Business Enterprises (Not covered in this course as they apply IFRS)
o Reporting & Disclosure
o IPSAS 1 Presentation of Financial Statements
o Required financial statements
o Structure
o Content
o IPSAS 2 Cash Flow Statements
o Cash and cash equivalents
o Operating, investing and financing activities
o IPSAS 3 Net Surplus or Deficit for the Period, Fundamental Errors and Changes in Accounting Policies
o Changes in accounting estimates
o Changes in accounting policies
o Correction of fundamental errors
o IPSAS 14 Events After the Reporting Date
o Adjusting events
o Non-adjusting events
o Non-current Assets
o IPSAS 17 Property, Plant and Equipment
o Initial recognition
o Subsequent valuation
o Depreciation
o Treatment of heritage assets
o IPSAS 16 Investment Property
o Initial recognition
o Subsequent valuation
o Transitional provisions for initial adoption
o IPSAS 5 Borrowing Costs
o Choice of policy
o Qualifying assets
o Measurement
o IPSAS 31 Intangible Assets
o Recognition
o Measurement
o IPSAS 21 & 26 Impairment of Non-Cash-Generating Assets & Impairment of Cash-Generating Assets
o Impairment identification
o Recognition and measurement
o Impairment reversals
o Disclosure requirements
o Revenues & Related Costs
o IPSAS 9 Revenue from Exchange Transactions
o Accounting treatment for exchange transactions
o IPSAS 23 Revenue from Non-Exchange Transactions (Taxes and Transfers)
o Recognition and measurement of tax revenue

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 o Recognition of revenue from transfers
o Reflecting conditions and restrictions in the financial statements
o IPSAS 12 Inventories
o Public sector entity inventories
o Inventories held for sale
o Inventories held for distribution at no or nominal charge
o Liabilities and Expenses
o IPSAS 19 Provisions, Contingent Liabilities and Contingent Assets
o Definitions
o Recognition and measurement
o Disclosures
o IPSAS 25 Employee Benefits
o Short and long-term benefits
o Recognition, measurement of pension obligations
o Financing and Financial Instruments
o IPSAS 13 Leases
o Lessee and lessor financial reporting requirements
o Sale and leaseback transactions
o IPSAS 4 The Effect of Changes in Foreign Exchange Rates
o Foreign currency transactions
o Foreign operations
o Financial Instruments
o IPSAS 28 Financial Instruments Presentation
o IPSAS 29 Financial Instruments: Recognition and Measurement
o IPSAS 30 Financial Instruments: Disclosures
o Consolidations and Strategic Investments
o IPSAS 6 Consolidated Financial Statements and Accounting for Controlled Entities
o Concepts of public sector control
o Consolidation requirements
o Determining whether control exists
o IPSAS 7 Accounting for Investments in Associates
o Equity method of accounting
o Cost method requirements
o IPSAS 8 Financial Reporting of Interests in Joint Ventures
o Proportionate consolidation
o Allowed alternative equity method
o Other Presentation & Disclosure Standards
o IPSAS 18 Segment Reporting
o Distinguishable activities
o IPSAS 20 Related Party Disclosures
o Identification of related parties
o Disclosure requirements
o IPSAS 24 Presentation of Budget Information in Financial Statements
o Required disclosures
o Comparison of budget and actual amounts
o Material differences
o IPSAS 22 Disclosure of Financial Information about the General Government Sector

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 o Disclosure requirements
o Transitioning to the Accrual Basis of Accounting
o Guidance on the transition from the cash to the accrual basis of accounting
o Key issues
o Alternate approaches allowed
o Future Developments
o Exposure drafts
o IPSASB projects
o Consultation papers
o Projects in process

Course Benefits

o Understand Accrual Based IPSAS requirements, including accounting policies and disclosures
o Implement the IPSAS recognition and measurement rules for assets, liabilities, revenues and expenses
o Learn the requirements for presentation of IPSAS financial statements and related disclosures
o Plan ahead for issues that arise when transitioning from the cash basis to the accrual basis of accounting
o Identify transitional provisions in IPSAS standards
o Increase planning opportunities through awareness of likely future IPSAS changes
o Learn the sources of IPSAS guidance that are available

Teaching Method

o Live group instruction with interactive participation encouraged

o Review of the rationale, objective and scope of IPSAS
o Description and explanation of IPSAS requirements in clear and simple language
o Use of case studies and real-world examples to illustrate practical application of the standards
o Interactive participation will be encouraged
o All participants receive a comprehensive binder containing copies of the presentation slides, handouts and
other course materials

Continuing Professional Education (CPE)

24 hours

Venue

All of our Geneva seminars take place in 4 star professional conference facilities, usually in city-centre downtown
hotels like the Marriott, Sheraton or Hilton brands.

Detailed Joining Instructions are sent to all registered delegates by email approximately one month before the
event. The Joining Instructions will confirm exact venue details and nearby (or onsite) hotel recommendations
with bedroom rates where available.

Coffee and lunch will be provided.

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Related courses

o 1691: International Accounting for Not-for-Profit Entities (3 days)

o 1750: Introduction to IFRS for the Public Sector (3 days)
o 3100: IFRS versus IPSAS (2 days)
o 3250: International Public Sector Accounting Standards (IPSAS) - Cash Basis (2 days)
o 3281: International Public Sector Accounting Standards (IPSAS) - Hot Topics and Technical Update (2 days)
o 3500: International Public Sector Accounting Standards (IPSAS) - Transition and Implementation (2 days)

Booking Information

Duration (days): 3.00

Location: Geneva
Price: EUR 2,495
Price: EUR 2,495
Price: EUR 2,495

Available dates

20 Jun - 22 Jun 2011

11 Jun - 13 Jun 2012
12 Nov - 14 Nov 2012

Instructor(s)

Alan Mayo [20 Jun - 22 Jun 2011 ]

Alan Mayo is a highly experienced instructor in the field of international financial reporting. He teaches seminars
around the world on subjects including International Financial Reporting Standards (IFRS) and International
Public Sector Accounting Standards (IPSAS). Alan is a UK chartered accountant with over 20 years of
experience as an auditor and consultant with PricewaterhouseCoopers in both London and Paris. He was
formerly a founding member of the PwC Client Training business in London, which delivered UK and international
GAAP courses to a wide range of multinational clients. Alan also managed a team within PwC that provided
training and change management support to the UK public sector as it transitioned from cash to accruals based
accounting, working with organizations such as the Foreign and Commonwealth Office and the Ministry of
Defence. An independent training consultant since 2001, Alan has been an associate instructor with IASeminars
since 2004. His recent public-sector consultancy work has focused on developing the financial management skills
of UK government agencies, and advising them during transition from UK to IFRS or IPSAS-based accounting
standards. Alan’s clients at IASeminars have included the United Nations, The Auditor General Of Canada, and
various governmental agencies from around the world.

Instructor TBC [11 Jun - 13 Jun 2012 ]

The instructor for this course will be drawn from one of our core faculty of subject matter experts (see examples
on http://www.iaseminars.com/html/faculty.html). Further details will be published at the earliest opportunity.

Course 3200: International Public Sector Accounting Standards (IPSAS) - Accrual Basis (3 days)
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Instructor TBC [12 Nov - 14 Nov 2012 ]
The instructor for this course will be drawn from one of our core faculty of subject matter experts (see examples
on http://www.iaseminars.com/html/faculty.html). Further details will be published at the earliest opportunity.

For more information, please visit http://www.iaseminars.com/en/event/?Code=3200&VenueID=25

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