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Joint arrangement

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBR Exams › Joint arrangement

  • This topic has 1 reply, 2 voices, and was last updated 6 years ago by P2-D2.
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  • May 19, 2019 at 12:22 pm #516423
    gangsta1
    Member
    • Topics: 75
    • Replies: 10
    • ☆☆

    Were a separate vehicle/entity is set up the arrangement is a joint venture and the venturers will account for their share of net assets using the equity method.

    If there is no separate vehicle, the arrangement is a joint operation and the operators will account for their portion of rights in relation to assets & obligation in relation to liabilities.

    Question sir, if a separate vehicle/entity is set up, can there be a joint operation or does it always have to be joint venture?

    May 21, 2019 at 8:47 pm #516775
    P2-D2
    Keymaster
    • Topics: 4
    • Replies: 7163
    • ☆☆☆☆☆

    It will always be a joint venture where a separate entity is set up.

    Thanks

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