IASB claiming that changes in the carrying amounts of NON-MONETARY items are recognised as MONETARY gain or loss
Both CMUCPP and IAS 29 implement financial capital maintenance in units of constant purchasing power: CMUCPP in terms of a Daily Index (see several country Daily CPIs in the right side-bar) and IAS 29 in terms of the monthly published CPI as required in IFRS. IAS 29 had no positive effect during the 8 years it was implemented in Zimbabwe. The IASB refuses to acknowledge this very well known fact.
Changes in the real value (constant purchasing power) of monetary items - to the extent they are not linked to a general price level - during inflation and deflation are recognised as a net monetary gain or loss under both CMUCPP and IAS 29.
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