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IAS 24-Suntory

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBR Exams › IAS 24-Suntory

  • This topic has 1 reply, 2 voices, and was last updated 5 years ago by Stephen Widberg.
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  • May 27, 2020 at 10:05 am #571940
    toushiga
    Participant
    • Topics: 424
    • Replies: 172
    • ☆☆☆☆

    Sir,for PYQ Sep/Dec 2016 Q2(c)

    for the last paragraph of the examiner answer

    1.why we need to disclose the personal guarantee given by the directors?

    The director is related party to the company, the company obtain a bank loan , the loan guaranteed by the FD

    so its become related party transaction even though the loan is not between the FD and the company?

    Thank you.

    May 27, 2020 at 3:51 pm #571976
    Stephen Widberg
    Keymaster
    • Topics: 16
    • Replies: 3411
    • ☆☆☆☆☆

    Yes -it’s likely to be disclosed.

    RPT disclosure is an issue of judgement – anything that may affect shareholder decision making.

    The safest thing to say is that it ‘may have to be disclosed’.

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