tailieunhanh - Hedge Accounting Comments to be received by 9 March 2011

Contracts tend to use a single earnings number that is either the reported earnings or a transformation of reported earnings. For example, private debt contracts use reported earnings with some GAAP measurement rules "undone" (., equity accounting for subsidiaries -see Leftwich, 1983, p. 25). And, CEO bonus plans use earnings (or transformations of earnings such as returns on invested capital) to determine 80% of CEO bonuses (Hay, 1991; Holthausen, Larcker and Sloan, 1995). It is interesting to ask why it is efficient for contracts to use a single benchmark earnings measure as a starting point for contractual provisions. Leftwich (1983, p | December 2010 Exposure Draft ED 2010 13 Hedge Accounting Comments to be received by 9 March 2011 Exposure Draft HEDGE ACCOUNTING Comments to be received by 9 March 2011 ED 2010 13 This exposure draft Hedge Accounting is published by the International Accounting Standards Board IASB for comment only. The proposals may be modified in the light of the comments received before being issued in final form as amendments to IFRS 9 Financial Instruments. Comments on the exposure draft and the Basis for Conclusions should be submitted in writing so as to be received by 9 March 2011. Respondents are asked to send their comments electronically to the IFRS Foundation website using the Comment on a proposal page. All responses will be put on the public record unless the respondent requests confidentiality. However such requests will not normally be granted unless supported by good reason such as commercial confidence. The IASB the IFRS Foundation the authors and the publishers do not accept responsibility for loss caused to any person who acts or refrains from acting in reliance on the material in this publication whether such loss is caused by negligence or otherwise. Copyright 2010 IFRS Foundation ISBN for this part 978-1-907026-96-6 ISBN for complete publication set of two parts 978-1-907026-95-9 All rights reserved. Copies of the draft IFRS and its accompanying documents may be made for the purpose of preparing comments to be submitted to the IASB provided such copies are for personal or intra-organisational use only and are not sold or disseminated and provided each copy acknowledges the IFRS Foundation s copyright and sets out the IASB s address in full. Otherwise no part of this publication may be translated reprinted or reproduced or utilised in any form either in whole or in part or by any electronic mechanical or other means now known or hereafter invented including photocopying and recording or in any information storage and retrieval system without prior