CERTYNEX IFRS ACADEMY

During the year Talmira’s debt increased by 1.5 million when an indebted subsidiary was acquired, and it repaid 400,000. How should these items be presented in the reconciliation?

−400,000 as financing cash flows; +1.5 million as a change from obtaining control.

+1.1 million of net financing flows, netting the acquired debt and the repayment.

+1.5 million as drawdowns.

The acquired debt does not appear in the reconciliation.