IAS 28Chapter 4Lesson 1
Transactions with the associate: eliminating the unrealised profit share
Step 1 of 8Learning objectives
Go deeper+2 deeper insights · +1 point of attention
Gains and losses on transactions between the investor and its associate are recognised only to the extent of unrelated investors' interests: the investor's share is eliminated, unless the loss shows an impairment of the asset transferred.
45 minNot started
Learning objectives
- Distinguish upstream from downstream transactions.
- Calculate and record the share of unrealised profit to eliminate on assets still held.
- Explain the treatment of a loss that shows an impairment, and place the contribution of assets and the deferred 2014 amendments.