Knowledge Centre
Transitioning from AS29 to Ind AS37: Impact on Warranty Provisions
Financial reporting in India is undergoing a transformation owing to the adoption of Indian Accounting Standards (Ind AS) that are converged with IFRSs. Recognition, Measurement and Disclosure requirements for various items are undergoing significant changes consequently.
Attrition Rates and Impact on Employee Benefit Liabilities
Attrition rate is one of the important assumptions used in actuarial valuation of employee benefits such as gratuity, leave, etc.....
Discount Rate for Actuarial Valuations of Employee Benefits (December 2016)
The discount rate used in actuarial valuations of employee benefit plans such as gratuity, pension, earned leave etc. is determined by reference to market yields at the balance sheet date on government bonds...
Discount Rate for Actuarial Valuations (September 2016)
The discount rate used in actuarial valuations of employee benefit plans such as gratuity, pension, earned leave etc. is determined by reference to market yields at the balance sheet date on government bonds...
Actuarial Valuations: Managing costs in the falling interest rate scenario
During FY 2014-15, the yield on long term government bonds fell from about 9.3% p.a. levels as at 31 March 2014 to about 8% p.a. levels as at 31 March 2015. This triggered a fall in discount rate used in actuarial...
Discount Rate for Actuarial Valuations (June 2016 )
The discount rate used in actuarial valuations of employee benefit plans such as gratuity, pension, earned leave etc. is determined by reference to market yields at the balance sheet date on government bonds. Para 78 of AS15 reads as under:
Understanding Actuarial Valuation of Accumulating Sick Leave
We often come across clients who are not sure if they need to recognise liability in respect of sick leaves. And in case of companies who do recognise a liability in respect of sick leaves, we often find the management not being aware of the calculation process of the liability.
Discount Rate for Actuarial Valuations (March 2016)
The discount rate used in actuarial valuations of employee benefit plans such as gratuity, pension, earned leave etc. is determined by reference to market yields at the balance sheet date on government bonds...