CERTYNEX IFRS ACADEMY

What approach does a party follow to determine whether it has joint control of an arrangement?

It first checks collective control by all the parties or a group of them, then unanimous consent on decisions about the relevant activities.

It first assesses whether decisions require the unanimous consent of all the parties, then, failing that, whether one of them controls the arrangement individually within the meaning of IFRS 10.

It first classifies the arrangement as a joint operation or a joint venture, then looks for joint control according to the category retained for the arrangement.

It first compares its holding percentage with that of the other parties, then retains joint control for the party whose share is the highest.