MNP Comment Letter - Financial Instruments with Characteristics of Equity Discussion Paper

Category: IFRS

MNP Comment Letter - Financial Instruments with Characteristics of Equity Discussion Paper


Thank you for the opportunity to comment on the above noted document.

We have reviewed the DP and have provided our response to the specific questions in the DP below. Overall, we support the International Accounting Standards Board’s (the “Board”) project on the classification, presentation and disclosure of FICE. We agree that it is imperative to have clear classification principles with well-defined rationale to improve consistency in the classification of FICE. We also agree with the Board’s objective to improve the information entities provide in their financial statements about features of FICE through a set of clear, thorough and well-balanced presentation and disclosure requirements.

However, we are concerned that the proposals in the DP will not eliminate the current challenges encountered in practice in regard to the application of IAS 32 to classify complex FICE. Further, should the Board continue with this project, consideration of the consequential impact of the proposed changes to IAS 32 on the revised Conceptual Framework and other standards, such as IFRS 2 Share-based Payment and IAS 33 Earnings Per Share, will need to be addressed.

MNP Comment Letter - Financial Instruments with Characteristics of Equity Discussion Paper

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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.