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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FR Exams › NCI at proportion of net assets
When NCI is measured as a proportion of net assets, what are the adjustments to the NCI SOFP value?
a) Goodwill impairment ?
Ans – Will not be charged with their share.
But what about,
b) Net increase in net assets (reserves)?
Impairment won’t hit NCI but FV adjustment will. If you dont take FV adjustment, your SFP wont balance. Give it a try 🙂
“Net increase in net assets (reserves)”?
In working W4A any increase in the reserves / net assets is automatically included in the nci working – if you follow my way of calculating working W4A
Thank You Sir!
You’re welcome