This detailed IAS 28 Investments in Associates summary provides a structured and practical approach to understanding the application of the equity method, recognition of significant influence, and accounting for transactions with associates. Ideal for accounting students preparing for exams and pro...
, al
Associate Investor has significant influence (not suis or
joint arrangement
Significant influnce participate
M
in decisions but not control ( :> 20 % but( 50%)
al
↳ investo > 20 % =
presumed control
↳
potential voting rights taken into account to determine
Overview
① Records
SFP
-
> investment in ASS Cop
hu
d
Equity method Group's records
·
& CP
SFP
equity
↳ Initially :
↳
Subsequent : adjust s equity > Investment in ASS [CP + since res
↓
Don't elim
↳
investment It's p
Associa
since
SCI
↳ share profit of ASS XX
G -
It's of
-
portion
-
Associate's
Cy profit
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