Exam 22: Further Consolidation Issues II: Accounting for Non-Controlling Interests

Which of the following situations,involving eliminations as part of the consolidation process,would not have implications for the calculation of non-controlling interest?

Discuss how the share capital and reserves of a non-controlling asset are determined at the date of the acquisition and post-acquisition changes in share capital and reserves.

As prescribed in IFRS 10,which of the following statements is incorrect with regards to non-controlling interests in subsidiaries?

Non-controlling interests are allocated on a 'line-by-line' basis throughout the statement of comprehensive income.

The disclosure of non-controlling interests in the (a)comprehensive income statement; and (b)statement of financial position is as follows:

Acquirer Plc purchased 75 per cent of Subby Plc for €45 000.The fair value of identifiable assets was €95 000,and the fair value of liabilities and contingent liabilities amounted to €47 000.According to IFRS 10,what would be the amount of 'goodwill allocated to non-controlling interests of Subby Plc'?

Discuss the three elements considered when calculating non-controlling interests.

In adjusting for intragroup transactions prior to calculating non-controlling interests,describe the treatment of: (a)intragroup service and interest payments; and (b)intragroup sales of inventory and non-current assets.

Where the parent entity holds less than 100 per cent interest in a subsidiary,IAS 10 requires the remaining shareholders' interests in what items to be disclosed?

In preparing consolidated financial statements non-controlling interests are allocated on a 'line-by-line' basis.