AASB 124 - Related Party Disclosures - December 2009
Example 4 — Person as InvestorExample 4 — Person as Investor
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Example 4 – Person as Investor
IE16 A person, X, has an investment in Entity A and Entity B.
Illustration of the definition of related party in relation to a person as an investor in two entities.
IE17 For Entity A’s financial statements, if X controls or jointly controls Entity A, Entity B is related to Entity A when X has control, joint control or significant influence over Entity B. [Paragraph 9(b)(vi) – (a)(i) and 9(b)(vii) – (a)(i)]
IE18 For Entity B’s financial statements, if X controls or jointly controls Entity A, Entity A is related to Entity B when X has control, joint control or significant influence over Entity B. [Paragraph 9(b)(vi) – (a)(i) and 9(b)(vi) – (a)(ii)]
IE19 If X has significant influence over both Entity A and Entity B, Entities A and B are not related to each other.