[newington]

I believe that C had control. Without veto it would have likely been a JV, but it said with Veto thus giving C effective control. See my post on page 2 with link.

[newington]

Great, thanks.

[newington]

Can anyone remind me which one was 30 marks and which was 20 please?

[newington]

There was definitely reference to Crypto having a “veto” over decisions. Although they had 50%, and the FRS says there is a need for over 50%, there are exceptions: “Control also exists when the parent owns half or less of the voting power of an entity but it has…..”

Section 9.5 of the actual FRS – reading the text I think such a veto would make control apparent. I therefore took this to mean under FRS102 that they had effective control (and thus subsiduary rules).

https://www.frc.org.uk/getattachment/e1d6b167-6cdb-4550-bde3-f94484226fbd/FRS-102-WEB-Ready-2015.pdf

What do you think? Sound logic or ramblings of a mad man!
P.S. found it hard – especially CF comparisons and FRS102 which is certainly not prominent in the BPP mock exams.

[Author]

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