CERTYNEX IFRS ACADEMY

Rosvane sells 15% of its 80%-owned subsidiary (keeping control) for 1.5 million and presents the receipt, net of the subsidiary’s cash, as investing. What is the error?

Only the deduction of the subsidiary's cash is wrong; investing classification is correct.

The flow must be excluded from the statement.

There is no error.

The 1.5 million receipt is a financing flow, with no deduction of the subsidiary’s cash.