Consolidation of foreign subsidiaries under IAS 21 (Online)
Venue Online - Microsoft Teams
Date Thursday 24th October 2024
Time 09:30 - 12:30
Information In this session, we will look at a case study based on the translation method relating to a foreign subsidiary and its consolidation. The following issues will be scrutinised:

(a) A through exercise will be carried out regarding how to proceed with consolidation in excel using an ‘Extended Consolidated Trial Balance-(ECTB)’ with a stepwise approach dealing with the line-by-line and cancellation principles relating to consolidation as well as showing how to embed the SNGNG concept and journal entries into the ECTB.

(b) A detailed analysis of consolidation workings in terms of SNGNG, namely Structure, Net Assets, Goodwill, Non-controlling Interest, and Group (Consolidated) Reserves. SNGNG serves as a tool to deal effectively with consolidation workings and adjustments. A revised method will be exposed so as to determine the exchange difference arsing on the retranslation of a foreign subsidiary.

(c) In order to optimise understanding, a comprehensive case study will be considered relating to the Consolidated Statement of Financial Position, the Consolidated Statement of Profit or Loss and Other Comprehensive Income and the Consolidated Statement of Changes in equity in terms of the following adjustments:

1) Intragroup sales and the elimination of intercompany sales and unrealised profit together with the assessment of any exchange difference arising on translation

2) Loan given to foreign subsidiary and the elimination of intercompany loan and examining the conflict between IAS 21 and IFRS 10 in relating to the accounting for the exchange difference arising on retranslation of such a loan in consolidation.

Note: MQA Approval in Progress
CPD Units 3 units on full attendance
Seats Left 23
Price Rs 4000
Booking Deadline Thursday 24th October 2024
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