Other comprehensive income on loss of control

Learning objectives

• Calculate the amount of accumulated other comprehensive income reclassified on loss of control as if the assets had been disposed of.L4

Normative references

• IFRS 10 §B99Amounts previously recognised in other comprehensive income in relation to the subsidiary are accounted for on the same basis as would be required if the parent had directly disposed of the related assets or liabilities (reclassification to profit or loss or transfer within equity, as required by the applicable IFRS Standard).

Original summaries of the paragraphs (reference register), never a quotation of the standard.

3 questions

• On loss of control of Pin SA, the accumulated other comprehensive income relating to Pin includes {oci_reclassifiable} of amounts reclassifiable to profit or loss (translation differences, case convention) and {oci_not_reclassifiable} of amounts whose gains and losses are not reclassified to profit or loss (case convention). Calculate the amount reclassified to profit or loss on loss of control.L4
• Orme SA loses control of Saule SA. The accumulated other comprehensive income relating to Saule, reclassifiable to profit or loss as on a direct disposal of its assets and liabilities, amounts to {oci_reclassifiable} (case convention). Record the reclassification entry.L4
• On loss of control, the amounts of other comprehensive income relating to the subsidiary remain recognised in equity, with no particular treatment.L4