Critical Accounting Estimates and Judgments Financial Risk Management
CEVA Holdings LLC – Quarter One 2017 Interim Financial Statements
12 impairment model and removes the need for a triggering event to be necessary for recognition of impairment losses. The new standard
e ui es appli atio fo a ual pe iods egi i g o o afte Ja ua . The G oup is et to assess IF‘“ s full i pa t;
IFRS 15, ‘e e ue f o Co t a ts ith Custo e s – The new standard will be effective for annual periods beginning on or after 1 January 2018 with retrospective application. This new standard on revenue recognition supersedes IAS 18 Revenue, IAS 11 Construction Contracts
and related interpretations. The Group is assessing the impact of the standard; IF‘“ , Leases – The new standard addresses the definition of a lease, recognition and measurement of leases and establishes principles
for reporting useful information to users of financial statements about the leasing activities of both lessees and lessors. A key change arising from IFRS 16 is that most operating leases will be accounted for on balance sheet for lessees such as CEVA. The standard replaces IAS 17
Leases , a d elated i te p etatio s. The sta da d is effective for annual periods beginning on or after 1 January 2019 and earlier appli atio is pe itted su je t to EU e do se e t a d the e tit adopti g IF‘“ ‘e e ue f o o t a ts ith usto e s at the same
time. The Group is currently assessing the impact of IFRS 16; IA“ , “tate e t of Cash flo s – The amendments clarify IAS 7 to improve information provided to users of financial statements about an
entitys financing activities. They are effective for annual periods beginning on or after 1 January 2017, with earlier application being permitted, subject to EU endorsement;
IA“ , I o e Ta es – The amendments to IAS 12 clarify the treatment for the recognition of deferred tax assets for unrealized losses. They are effective for annual periods beginning on or after 1 January 2017, with earlier application being permitted, subject to EU
endorsement; IFRIC 22, Fo eig Cu e
T a sa tio s a d Ad a e Co side atio - This interpretation addresses foreign currency transactions: the date of the transaction, for the purpose of determining the exchange rate, is the date of initial recognition of the non-monetary prepayment asset
or deferred income liability. If there are multiple payments or receipts in advance, a date of transaction is established for each payment or receipt. The new interpretation, subject to EU endorsement, requires application for annual periods beginning on or after 1 January 2018.
The Group is assessing the impact of the impact of IFRIC 22.
There are no other IFRSs or IFRIC interpretations that are not yet effective that would be expected to have a material impact on the Group.