The effect of applying the International Financial Reporting Standard (IFRS16) on the financial statements of a sample of Iraqi banks

Abstract

The research aims to know the impact of the application of IFRS 16 on the accounting measurement of rent and to know the difference between the method followed by the bank in measuring rents and the method followed by the standard in measurement, and also to know the difference between the bank’s classification of rents between operational and financing and the classification of the standard It and the consequences of this classification in terms of treatment by the bank and in the standard, by analyzing the lease contracts of the Trade Bank of Iraq and classifying those contracts into operational and financing and knowing the way in which the bank measures its lease contracts and then classifying the lease contracts according to The standard and the application of the measurement method used in the standard, and is there a difference in measurement or not. One of the most important conclusions reached by the researchers is the effect of applying IFRS 16 on the measurement of lease contracts in the bank. The most important recommendation reached by the researchers is to force Iraqi banks to apply IFRS 16 to lease contracts.