After the short October issue, this time you can expect a much longer newsletter with two top topics.
Firstly, the 19th edition of KPMG's cost of capital study has been published. As in previous years, it highlights current developments in the preparation of planning calculations and the derivation of capital costs as well as their significance for company values and corporate development. This year's motto is "The New Dilemma: Balancing Interest Rates and Growth".
We have also prepared an in-depth article for you on the topic of IFRS 18 Presentation and Disclosure in Financial Statements (see also the overview in Accounting News May 2024). IFRS 18 defines companies with so-called "specific main business activities" (e.g. banks, insurance companies and those with a financial services division) and sets out specific allocation rules for income and expenses in the income statement in addition to the general rules. The in-depth article provides practical insights and examples of these special features.
In addition, the European Securities and Markets Authority (ESMA) has announced the audit priorities for corporate reporting in 2024. In the December issue, we will provide you with detailed information on the audit priorities of ESMA and BaFin.
Finally, we will inform you about the adoption of a final revised IDW statement on the accounting of foundations (IDW RS FAB 5, formerly IDW RS HFA 5).
Dr. Hanne Böckem
Partner, Audit, DPP
KPMG AG Wirtschaftsprüfungsgesellschaft