Skip to main content
IFRS Academy

CERTYNEX IFRS ACADEMY

My account — Professional

Search the Academy

Home
My learning path
Exercises & quizzes
Cases
Workpapers
Exams
My progress

IFRS 3Workpapers (Step 4 of 5)

Workpaper assignment

Step 4 of 5
Mission · workpaperWorkpaper · IFRS 3L4 · Expert

Documents

Group profile and file conventions

Memo

Group profile and file conventions

Alvane Group SA (fictitious entity) closes its consolidated accounts on 31 December 20X6. File conventions: amounts in EUR, rounded to the cent; fair values, scenarios, probabilities, rates and percentages are file data; file convention (pedagogical assumption, not attributed to IFRS 3): for Corvel, the non-controlling interest is measured at the proportionate share of the identifiable net assets; the fair value of the deferred price is the weighted average of the possible payments, discounted at the rate given, a method that is not the only one possible; the entries are illustrative: the combination entry records the assets and liabilities assumed excluding deferred tax, and the supplementary entry records the deferred tax against goodwill.

Identifying a business combination: scope of the standard, business or group of assets, common control, acquirer and acquisition date: Plastex — identification

File of a group: identification, purchase price allocation, contingent consideration and step acquisition (IFRS 3)

9 documents7 sections to document
0 / 4 sections completed
Guided mode

Section 1 of 7

Objective

In progress
Section brief
What to document
The engagement, its scope and the working mode chosen.
Why
A workpaper answers one precise question: framing it avoids off-topic work.
How
Read the objective and the assignment, then choose the mode (guided, semi-guided, professional).
Expected result
You know which question the workpaper must settle, and for which reporting date.
Your role
Preparer of the IFRS 3 workpaper
Level
Expert
Estimated time
≈ 60 min
Progress
0 / 3 steps done (review excluded)

Context

Alvane Group SA (fictitious entity) closes its consolidated accounts on 31 December 20X6. In 20X6, it took control of Corvel Mécanique SA in stages with a deferred price, then acquired Plastex SARL on bargain terms. The preparer builds the consolidation file of these two combinations, submitted to a reviewer, and receives in February 20X7 information on a liability existing at the acquisition date. Teaching simulation: the review trail of the file (preparation, reviewer notes and final sign-off) is simulated for demonstration purposes; it is neither a real review nor a validation of the content.

Assignment

Identification of Corvel and Plastex

Purpose of the workpaper

Describe the transaction and the items acquired, check the exclusions from the scope, assess the inputs and processes (and, if the acquirer so elects, the concentration test), identify the acquirer and the date on which control is obtained, then support each judgment. Amounts, percentages and dates are case data: no threshold is presented as imposed by the standard.

Questions of the file covered by this workpaper

  • Are Corvel and Plastex businesses within the scope of IFRS 3? Assess the inputs and processes.
  • Corvel: identify the acquirer and the acquisition date; compute the share of the voting rights held after the transaction.

Documents in the file

Open the documents to pick out the relevant information.

Choose how you want to work
View the workpaper template