First Prize: IASB STAFF for the statement
"23. Consequently, we are of the view that IFRSs PROHIBIT an entity from preparing its financial statements under the concept of financial capital maintenance defined in constant purchasing power units unless the entity falls within the scope of IAS 29."
Second Prize: PROF. STEVE HANKE
Second prize goes to Prof. Steve Hanke for the following statement:
"Hyperinflation begins when a country experiences an inflation rate of greater than 50% percent per month — which comes out to about 13,000% per year."
IAS 29 Financial Reporting in Hyperinflationary Economies, Par. 3 states:
"Hyperinflation is indicated by characteristics of the economic environment of a country which include, but are not limited to, the following:
(e) the cumulative inflation rate over three years is approaching, or exceeds, 100%."
These awards will only be finalised on 1 January 2014.
Nicolaas Smith Copyright (c) 2005-2013 Nicolaas J Smith. All rights reserved. No reproduction without permission.