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In the proforma Group SPL in chapter 24 of FR.
What does Dividend from S/A mean?
Is it divided from the subsidiary or subsidiary and associate?
I am assuming it is the subsidiary.
But what happens to the dividend from the associate?
Is it just deducted in full from the associate’s profit and the remainder multiplied by P’s share in calculating the investment in associate?
Yes, it is the dividend received from the subsidiary or the associate, which is eliminated on consolidation of the subsidiary and when equity accounting for the associate.
The amount deducted will be the parent’s share of whatever the subsidiary/associate has declared this year.