I would like to understand what is the base of sequence for IFRS Chart of Accounts on this WEB site. I have searched for 3 days for standards in IFRS and IAS and found no standard Chart of Accounts or even no sequence in which it should be presented. I am talking about Balance Sheet mainly.
The only text I have found is from https://www.iasplus.com/en/standards/ias/ias1
IAS 1 does not prescribe the format of the statement of financial position. Assets can be presented current then non-current, or vice versa, and liabilities and equity can be presented current then non-current then equity, or vice versa. A net asset presentation (assets minus liabilities) is allowed. The long-term financing approach used in UK and elsewhere – fixed assets + current assets - short term payables = long-term debt plus equity – is also acceptable.
I am now in Lithuania and should implement new COA for a big Resort as the current one is too small to have proper P&L for Hotel operations and implementation of USALI 11th Version management accounting. Possibly in last 15 years I have worked in companies using US based COA like Starwood in Saudi Arabia, Jumeirah in Azerbaijan, Marriott in Russia and Domina Group in Eqypt?
But I have also worked in A.P. Moller Maersk Shipyard in Estonia, following IFRS (You can say again that as is publicly listed company in USA).
In ALL of the aforementioned companies have followed the Chart of Accounts which for Balance Sheet is starting with most liquid items (CASH) and finishing with Fixed Assets and Intangible Assets. Liabilities & Equity side is starting with Current Liabilities and continuing towards non-current liabilities and accruals, finishing with Equity.
When I discovered this "IFRS" Chart of Accounts, I was intrigued as could not find a base from where this approach is coming and why do you call it IFRS chart of accounts?
I also found this approach in current COA used in Lithuania and suspected that this is due to some local, historical reasons. Would be very grateful to get some feedback about origin of this approach presenting NON-CURRENT assets/liabilities first and going towards Current assets/Liabilities
May-be I have missed something when I was studying IFRS?
Regards, Peeter Rumessen