Audit-Ready IFRS 16 Compliance Verification
Eliminate spreadsheet risk from your IFRS 16 audit procedures. Re-run client lease calculations independently, verify modification accounting step by step, check disclosure completeness against IFRS 16 paragraph 53 requirements, and export a fully formatted Excel workpaper package — all without installing software or relying on client-provided models.
Independent Calculation Verification
One of the primary audit procedures for lease liabilities is independent recalculation. Input the client's lease parameters — term, payment, IBR, commencement date, payment timing, and frequency — and compare the engine's output against the client's schedule. Discrepancies in opening balance, interest charge, or closing balance in any period are immediately visible. The engine's math is verified against ICAP CA Final model answers and IFRS 16 technical guidance.
- Re-run any client lease from original parameters
- Period-by-period comparison to isolate discrepancies
- Flags common errors: wrong IBR, incorrect timing, rounding methodology
Complete Audit Trail
Every calculation output includes a complete documented trail. The amortization schedule shows every input variable and every computed value for every period. Journal entries are dated, narrated, and organized chronologically from commencement through termination. Modification summaries show the pre-modification balance, the Step 1 adjustment, the Step 2 adjustment, and the post-modification opening balance in one consolidated view.
- Dated journal entries from Day 1 through final period
- Modification summary: balance at mod date, new PV, adjustment, gain or loss
- ROU asset movement note with cost, accumulated depreciation, and NBV
Disclosure Completeness Check
IFRS 16 paragraph 53 sets out specific quantitative disclosures that must appear in the notes. Many entities omit items or present them incorrectly. The engine generates the full disclosure package — SOFP extract with current/non-current split, SOCI extract with interest expense and depreciation, cash flow note, maturity analysis with undiscounted payments in three time bands, and the ROU asset movement note — allowing you to verify completeness against the client's financial statements.
- SOFP extract: ROU asset NBV and lease liability current/non-current split
- Maturity analysis: undiscounted payments in three mandatory time bands
- ROU movement note: cost, additions, disposals, accumulated depreciation
Modification Accounting Verification
Lease modifications are a high-risk area because the accounting depends on the type of modification, and different types require different discount rates. The engine executes all six modification types including the most complex: the cascading mixed modification that combines a scope decrease (with P&L gain or loss recognition) followed by remeasurement at a revised IBR. Every step is shown separately with the journal entry and the resulting balance.
- Scope decrease: verify proportionate write-off and gain or loss calculation
- Rate changes: verify whether original or revised IBR was correctly applied
- Mixed modification: verify Step 1 scope P&L then Step 2 remeasurement order
Sale & Leaseback Verification
Sale and leaseback transactions require assessment under IFRS 15 first, then classification of the terms as fair market, above market, or below market. Each scenario produces different accounting entries. The engine classifies the transaction based on the input parameters and generates the correct Day 1 entries, allowing auditors to verify whether the client has applied the correct scenario and used the correct ROU asset formula.
- Verify IFRS 15 sale assessment has been applied correctly
- Verify ROU asset formula: PV × NBV ÷ FV for fair market terms
- Verify financial liability separation for above market element
Excel Workpaper Package
Export a fully formatted Excel workbook containing every output the engine produces. The workbook is structured to attach directly to your audit working paper file. All monetary figures are formatted as true Excel numbers in accounting format — not text strings — so columns sum correctly. Column widths are auto-fitted so no content is truncated. The file can be saved, annotated, and filed as documentary evidence of the recalculation procedure.
- Multiple worksheets: liability, ROU, journals, modification, disclosures
- Accounting format with comma separators on every monetary cell
- True Excel numbers — cells can be summed and verified independently
Independent recalculation in 60 seconds
No installation. No account. Runs entirely in your browser on any device.
Access the Verification Tool →