04-09-2011, 05:26 PM
<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica, san" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by shafiurrahman</i>
<br />Hi everyone
Does anyone know
1.the reasons why directors may not wish to consolidate a subsidiary or subsidiaries?
2. And the circumstances where this is permitted?
Thank you
<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">
A parent is not required to (but may) present consolidated financial statements if and only if all of the following four conditions are met [IAS 27.10]
-The parent is itself a wholly-owned subsidiary, or is a partially-owned subsidiary of another entity and its other owners, including those not otherwise entitled to vote, have been informed about, and do not object to, the parent not presenting consolidated financial statements;
-The parent's debt or equity instruments are not traded in a public market;
-The parent did not file, nor is it in the process of filing, its financial statements with a securities commission or other regulatory organisation for the purpose of issuing any class of instruments in a public market; and
-The ultimate or any intermediate parent of the parent produces consolidated financial statements available for public use that comply with International Financial Reporting Standards.
Disclosures required in separate financial statements that are prepared for a parent that is permitted not to prepare consolidated financial statements [IAS 27.41]
the fact that the financial statements are separate financial statements; that the exemption from consolidation has been used; the name and country of incorporation or residence of the entity whose consolidated financial statements that comply with IFRS have been produced for public use; and the address where those consolidated financial statements are obtainable,
a list of significant investments in subsidiaries, jointly controlled entities, and associates, including the name, country of incorporation or residence, proportion of ownership interest and, if different, proportion of voting power held, and
a description of the method used to account for the foregoing investments.
Disclosures required in the separate financial statements of a parent, investor in a jointly controlled entity, or investor in an associate [IAS 27.42]
the fact that the statements are separate financial statements and the reasons why those statements are prepared if not required by law,
a list of significant investments in subsidiaries, jointly controlled entities, and associates, including the name, country of incorporation or residence, proportion of ownership interest and, if different, proportion of voting power held, and
a description of the method used to account for the foregoing investments.
Any comments are appreciated
<br />Hi everyone
Does anyone know
1.the reasons why directors may not wish to consolidate a subsidiary or subsidiaries?
2. And the circumstances where this is permitted?
Thank you
<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">
A parent is not required to (but may) present consolidated financial statements if and only if all of the following four conditions are met [IAS 27.10]
-The parent is itself a wholly-owned subsidiary, or is a partially-owned subsidiary of another entity and its other owners, including those not otherwise entitled to vote, have been informed about, and do not object to, the parent not presenting consolidated financial statements;
-The parent's debt or equity instruments are not traded in a public market;
-The parent did not file, nor is it in the process of filing, its financial statements with a securities commission or other regulatory organisation for the purpose of issuing any class of instruments in a public market; and
-The ultimate or any intermediate parent of the parent produces consolidated financial statements available for public use that comply with International Financial Reporting Standards.
Disclosures required in separate financial statements that are prepared for a parent that is permitted not to prepare consolidated financial statements [IAS 27.41]
the fact that the financial statements are separate financial statements; that the exemption from consolidation has been used; the name and country of incorporation or residence of the entity whose consolidated financial statements that comply with IFRS have been produced for public use; and the address where those consolidated financial statements are obtainable,
a list of significant investments in subsidiaries, jointly controlled entities, and associates, including the name, country of incorporation or residence, proportion of ownership interest and, if different, proportion of voting power held, and
a description of the method used to account for the foregoing investments.
Disclosures required in the separate financial statements of a parent, investor in a jointly controlled entity, or investor in an associate [IAS 27.42]
the fact that the statements are separate financial statements and the reasons why those statements are prepared if not required by law,
a list of significant investments in subsidiaries, jointly controlled entities, and associates, including the name, country of incorporation or residence, proportion of ownership interest and, if different, proportion of voting power held, and
a description of the method used to account for the foregoing investments.
Any comments are appreciated
