SMEs- Qualities o General Features
of 31
All materials on our website are shared by users. If you have any questions about copyright issues, please report us to resolve them. We are always happy to assist you.
Related Documents
  Differences Between PFRS for SMEs and Full PFRS  INVESTMENTS IN ASSOCIATES  PFRS for SMEsFull PFRS An associate is an entity over which theinvestor has significant influence, butthat is neither a subsidiary nor a jointventure of the investor.[IFRS for SMEs 14.2]Same as IFRS for SMEs.[IAS 28.2] DEFINITION OF INVESTMENTS IN ASSOCIATES  PFRS for SMEsFull PFRS Significant influence is the power to  participate in the financial and operating  policy decisions of the associate but is not control or joint control over those  policies. It is presumed to exist when the investor holds at least 20% of the investee’s voting power; it is presumed not to exist when less than 20% is held.These presumptions may be rebuttedif there is clear evidence to thecontrary.[IFRS for SMEs 14.3] Similar to IFRS for SMEs; in addition, IFRS gives the following indicators of significant influence to be consideredwhere the investor holds less than 20% of the voting  power of the investee: ã Representation on the board of directors or equivalent  body. ã Participation in policy -making processes. ã Material transactions between the investor and the investee. ã Interchange of managerial personnel.ã Provision of essential technical information. The existence and effect of potential voting rights that are currentlyexercisable or convertible are considered when assessing whether anentity has significant influence.[IAS 28.6-26.8] SIGNIFICANT INFLUNCE
Related Search
We Need Your Support
Thank you for visiting our website and your interest in our free products and services. We are nonprofit website to share and download documents. To the running of this website, we need your help to support us.

Thanks to everyone for your continued support.

No, Thanks