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P2 dilemma qs

This topic has 1 reply, 2 voices, and was last updated 11 years ago by MikeLittle.

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December 7, 2013 at 2:40 pm #151496
hasanali95
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What if an entitity has 19% of the shares in a company and it has provided the company with a software license at market price?
Is it an associate or an ordinary investment cz transfer of resources has taken place?
Thanks
December 8, 2013 at 6:09 pm #151675
MikeLittle
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No single fact or situation / transaction is going to give you a yes / no answer to that question. A transfer of resource MAY BE an indication that a significant influence relationship exists …. but it’s certainly not conclusive
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