Associates Flashcards
1
Q
What is an associate
A
An associate is an entity over which the investor has significant influence
2
Q
Significant influence is
A
Significant influence is the power to participate in the financial and operating policy decisions of the investee
3
Q
Significant influence presumed where investor holds
A
20-50% of ordinary share capital of investee
4
Q
Associate accounted for using
A
equity accounting
5
Q
A
