(Implementation Guidance on Financial Instruments 170,338)
Deferred profits or losses from cash flow hedges relating to forecast transactions are recognised as an adjustment to the book value of the asset acquired, and are reflected in profit and loss when the cost of the related asset affects profit or loss. However, if the asset acquired is an interest accruing financial asset like a loan, the profits or losses arising on the hedge may be treated as a deferred hedge with profits or losses recorded in net assets (equity).