Alert: Accounting for Related Party Financial Instruments and Significant Risk Disclosures

Category: ASPE

Alert: Accounting for Related Party Financial Instruments and Significant Risk Disclosures

In December 2018, the Accounting Standards Board (AcSB) issued amendments to ASPE 3856 Financial Instruments clarifying the recognition and measurement of related party financial instruments including related party compound financial instruments and improving the usefulness of the financial instruments risk disclosure requirements. The AcSB also issued amendments to ASPE 3856 to revise the requirements for the classification and measurement of retractable or mandatorily redeemable shares issued in a tax planning arrangement; please click here to view the MNP Alert that summarizes the accounting for such shares.

The scope of ASPE 3856 is expanded to include the initial and subsequent measurement, derecognition, presentation and disclosure of related party financial instruments by private enterprises and not-for-profit organizations (NFPOs).

Accounting for Related Party Financial Instruments and Significant Risk Disclosures Exposure Draft

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Michelle Balmer

Michelle Balmer CPA, CA

Vice President, Assurance

Michelle Balmer, CPA, CA, is a Senior Assurance Services Partner with MNP. With 14 years of experience in public practice, Michelle helps a broad range of public and privately held companies in a variety of industries. She also works on special projects, including costing studies, benchmarking and best-practice studies, operational analyses, litigation support and due diligence.

As a key member of MNP's Assurance team, Michelle has played an instrumental role in assurance policy development, implementing accounting and assurance standards firm-wide and educating assurance practitioners regarding methodologies and new pronouncements. She also provides technical advice and consultation on accounting and assurance issues, as well as on rules of professional conduct issues, to all MNP practitioners.

Michelle was certified a Chartered Accountant (CA) after obtaining a Bachelor of Commerce degree from the University of Alberta. She has been actively involved with the Institute of Chartered Accountants of Alberta, including the Chartered Accountants School of Business, in an instructional and marketing capacity. An avid volunteer, she has assisted numerous groups such as the Easter Seals of Alberta, Paralympic Sports Association and Junior Achievement of Northern Alberta.