top of page
  • Writer's pictureThomas Tsang

Equity accounting

When a company with associate but without subsidiary, the company still equity account for the associate even though we don’t call it consolidated financial statements. It is mentioned in FRS28, IN section.

For Companies Act compliance, company level financial position is required to present. Thus, we can still call group and company. The whole presentation is same as consolidated financial statements even though we don’t call it as such.

10 views0 comments

Recent Posts

See All

Prior year error

When there was a judgement made in prior year without concrete evidence of support. The audit should have qualified it. When in subsequent year, the judgement is changes with the intention to correct

Impairment test under US GAAP

Under US GAAP, the carrying amount of the assets is compared to the undiscounted future cash flow of the assets generated. If the amount of undiscounted cash flow is highr than carrying amount, no im

Discount on enterprise value

When apply discount on lack of marketability (DLOM) and lack of control (DLOC) on enterprise value (EV), it is a multiple of EV x (1-DLOM) x (1-DLOC). But apply the discount on Equity value would lowe


bottom of page