Substantive versus protective rights: getting the control assessment right
Which rights give control and which only protect an interest. How to make the Ind AS 110 assessment and keep a record of it.
Topic
Consolidation
Control, eliminations, minority interest and the acquisitions that change what a group looks like in its consolidated statements.
Consolidation is the step where a group stops being a collection of companies and becomes one set of statements. The arithmetic is the easy part. The judgement is deciding what belongs inside the group in the first place, and what has to be taken out again once it is.
These posts cover the decisions that change the consolidated numbers for years: whether a right is substantive enough to give control, what a purchase price allocation fixes in place, how a step acquisition is measured when influence was already there, and which trusts and vehicles come in at all.
One of several topics, each gathering the posts on one change.
2 posts on this
Purchase price allocation: the decisions that shape goodwill for years
Purchase price allocation sets numbers you live with for years. The judgements that decide goodwill, and what auditors ask to see.