• Register
Search Questions / Answers

Welcome to AccountantAnswer Forum, where you can ask questions and receive answers. Although you need not be a member to ask questions or provide answers, we invite you to register an account and be a member of our community for mutual help. You can register with your email or with facebook login few seconds

Get AccountantAnswer App

How to account for a direct investment in a company indirectly subjected to joint control?


Here are the facts:
Company A and Company B jointly controls 100% of Company C.
Company C controls 70% of Company D
Company A owns 10% of Company D
Company B owns 10% of Company D
Company D controls 70% of Company E

Company A has a board representation in Company D because of its ownership in Company C.

How will Company A account for its investment in Company D?
> Will it be an Investment in Associate?

How will Company A apply the equity method for its investment in Company D?
> If Company A already uses Company C's consolidated FS, will it use Company D's consolidated FS or the separate?

asked Sep 26 in IFRS 12 - Disclosure of Interests in Other Entities by ditunay Level 1 Member (1,100 points)

Your answer

Your name to display (optional):
Privacy: Your email address will only be used for sending these notifications.
Anti-spam verification:
To avoid this verification in future, please log in or register.


...