Any change in accounting policy (ies) which has a material effect should be quantified and disclosed with impact thereof on the state of affairs and / or on profits or losses of the current or future periods. Examples include whether proportionate consolidation or the equity method is applied to account for interests in joint ventures (FRS 31), measurement The Institute of Chartered Accountants of India has, in Standards issued by it, recommended the disclosure of certain accounting policies, e.g., Loss on receivables management during the year ended December 31, 2019 resulted from an unfavorable change in market conditions for receivables sales and decrease of recovery ratio in comparison to the year ended December 31, 2018. accounting policies1 are a require disclosure and MUST therefore be identifiable within an XBRL-based financial report. The consideration for the bundled packages comprises cash flows from the customers expected to be received in relation to goods and services delivered over the Adjusted Contract Term (see Note 41.10). mobile devices, monthly fees and activation fees from contract subscribers, the Group accounts for revenue from individual goods and services separately if they are distinct – i.e. Therefore FRS 102 for small entities Any change in the accounting policies which has material effect in the current period or which is reasonably expected to have a material effect in later periods should be disclosed. They are expensed to costs of goods sold on the date of activation of telecommunications services in relation to which the equipment was sold to the end customer or on the date when the equipment was sold to the end customer without a telecommunications service contract. Example 1 Going concern - Loss of major customer Going concern The Company cooperates with a network of dealers who sell contract services (including these bundled with handsets) and prepaid services. The Group has assessed that the dealers act as agents (and therefore do not control the goods or services before they are provided to the end-customer) in this process, for the following reasons: 2) Any change which has a material effect shall be disclosed along with amount to the extent ascertainable-where such amount is not ascertainable wholly or in part, the fact shall be indicated. Deferred income on sales of prepaid services comprises the value of prepaid products delivered to a distributor but not yet transferred to the end customer. FRS 18, Accounting policies sets out the principles to be followed in selecting accounting policies and the disclosures needed to help users to understand the accounting policies adopted and how they have been implemented. c) dealers are remunerated in the form of commissions; The Group estimates the prevalent period between the date of transfer of the equipment to dealer and the date of service activation based on historical data. AS 1 varies from enterprises to enterprises. All financial statements are prepared by following specific policies. As of December 31, 2019 trade receivables of PLN 174,500 thousand (December 31, 2018: PLN 214,580 thousand and December 31, 2017: PLN 195,945 thousand) were past due but not impaired. Net realizable value is the estimated selling price in the ordinary course of business less the applicable variable selling expenses. Contract costs comprise sales commissions to dealers and to own salesforce which can be directly attributed to an acquired or retained contract. These revenues are recognized in the period in which the services were rendered. Here are a couple of practical examples which will help us understand how they are monitored – Example #1 – Revenue Recognition. – for “mix” contracts – over the term during which a customer is expected to fulfil their obligation in relation to all top-ups required under a contract. An entity is now required to disclose its material accounting policy information instead of its significant accounting policies; several paragraphs are added to explain how an entity can identify material accounting policy information and to give examples of when accounting policy information is likely to be material; with one performance obligation for telecommunications services) is recognized at the face value of a prepaid top-up sold, net of VAT. As at and for the year ended December 31, 2019 The table below represents amounts recognized as service revenue during the reporting periods for which the customers had paid in advance and which had been presented as contract liabilities before the beginning of the reporting period. IFRS 15, certain disclosures from paras 110-129. Contract costs are capitalized in the month of service activation if the Group expects to recover those costs. (Expressed in PLN, all amounts in tables given in thousands unless stated otherwise) IAS 1 para 25, going concern uncertainty, COVID – 19 base and severe but plausible scenarios, note, reference in auditor review report, IFRS 15 and IFRS 16 adopted, full retrospective method, software and services, half year report, IAS 36, para 130, impairment recognised in the year, with details of assumptions used, mining, IAS 36 para 134, certain goodwill impairment review disclosures, VIU basis, IAS 36, goodwill, intangibles, PPE impairment disclosures, VIU basis, sensitivity analysis, IAS 36 para 130, Impairment based on FVLCD, IFRS 13 level 3 disclosure of assumptions, sensitivity, IAS 36 para 130, impairment of PPE, fvlcd level 3 fair value hierarchy and assumptions, IAS 36 para 130, impairment disclosures, fvlcd basis used, fair value hierarchy under IFRS 13, assumptions, sensitivities. Movements in the contract assets balance for the years ended: 31 December 2019, 2018 and 2017 were as follows: Additions correspond to adjustments to sales of goods under IFRS 15 when services and devices are sold in bundled packages to customers. The lines “Gain on receivables management” and “Loss on receivables management” represent the net amount resulting from: cost resulting from movement of the provision for impairment of receivables of 62,008 thousand in the year ended December 31, 2019 (72,914 thousand in the year ended December 31, 2018 and 53,634 thousand for the year ended December 31, 2017), net result on sales of overdue receivables to collecting agencies as well as income from early contract termination. 41. Services purchased by a customer beyond the contract are treated as a separate contract and recognition of revenue from such services is based on the actual airtime or data usage or is made upon the expiration of the Group’s obligation to provide the services. 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