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The IFRS Issues and Solutions for the Consumer Markets Industry (free registration required to view) is our collected insight on the application of International Financial Reporting Standards (IFRS) in this industry. The last publication of similar guidance was released in 2012. Since then, there have been significant changes to the industry and the adoption of some new accounting standards, in particular the adoption of IFRS 16, ‘Leases’, and IFRS 15, ‘Revenue from Contracts with Customers’.
Most recently, during the pandemic, consumers have had to pivot and adopt new habits, many of which are sticking – signifying an historic and dramatic shift in consumer behaviour. We also know that consumers are evolving to be even more digital and eco-friendly. These changes continue to introduce complexity to the accounting for consumer products entities, including in particular as it relates to leasing arrangements, complex multi-party supply chains and impairment considerations.
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