CERTYNEX IFRS ACADEMY

Brise SA, an associate of Alba SA, has a 30 November year end, while Alba's is 31 December. In December, Brise sold a major asset (case data). How does Alba treat Brise's statements for the equity method?

It uses Brise's statements at 30 November without adjustment, the December sale belonging to Alba's following year.

It suspends the equity method until Brise adopts a reporting date identical to its own.

It uses statements of Brise prepared as of Alba's reporting date or, failing that, adjusted for the effects of significant events between the two dates.

It adjusts Brise's events after 31 December, those of December already being part of Brise's own statements.