Property, Plant and Equipment (PPE)
PPE - Introduction
17.1 Property, Plant and Equipment applies to accounting for property, plant and equipment and accounting for investment property whose fair value cannot be measured reliably without undue cost or effort on an ongoing basis. Investment Property applies to investment property whose fair value can be measured reliably without undue cost or effort. ...continue reading "Property, Plant and Equipment"
So, what exactly is a joint venture?
Joint ventures are economic arrangements between two or more parties where key strategic decisions are made unanimously by the entities (the “venturers”) that share control. Key strategic decisions would include decisions that significantly impact sales and purchases of goods and services; research and development of new products; acquisitions and disposals; and the funding structure of the venture. Joint ventures may appear in incorporated or unincorporated form (i.e. a joint venture need not result in the creation of a separate legal entity). “Strategic alliances” in which companies agree to work together to promote each other’s products or services may also be considered joint ventures. ...continue reading "So, what exactly is a joint venture?"
An entity with joint control of an investee shall account for its investment in a joint venture using the equity method except when that investment qualifies for exemption in IAS 28.
The exemptions include: ...continue reading "Investments in Joint Ventures – Overview"
Investments in Joint ventures describes:
- accounting for joint ventures in consolidated financial statements, and
- in the financial statements of an investor that is not a parent but that has a venturer’s interest in one or more joint ventures.
Accounting policy election in Separate financial statements establishes the requirements for accounting for a venturer’s interest in a joint venture in separate financial statements. ...continue reading "Investments in Joint Ventures"
Investments in Associates describes:
- the accounting for associates in consolidated financial statements, and
- in the financial statements of an investor that is not a parent but that has an investment in one or more associates.
Accounting policy election in Separate financial statements establishes the requirements for accounting for associates in separate financial statements. ...continue reading "Investments in Associates"
Entities under common control combined
9.28 Combined financial statements are a single set of financial statements of two or more entities under common control (as described in Exceptions to accounting for Business Combinations sub (a) of Business Combinations and Goodwill). Combined financial statements does not require combined financial statements to be prepared.
Combined Financial Statements comply in full to this section
...continue reading "Combined financial statements"
Presentation of separate financial statements
9.24 It is not required to present separate financial statements for the parent entity or for the individual subsidiaries.
9.25 Separate financial statements are a second set of financial statements presented by an entity in addition to any of the following: ...continue reading "Separate financial statements"