Alba SA holds 30 % of Brise SA, an associate. Alba sold goods to Brise (downstream transaction); at the reporting date, Brise's inventory still contains a profit made by Alba of 50,000 (case data). Case convention: the elimination is presented as a debit to the share of profit of the associate, against the investment. Record the entry that eliminates Alba's share.
- Investor's percentage
- 30 %
- Unrealised profit in the associate's inventory
- 50,000