Ryder 9/19

Hello Sir , As i went through the question i had a couple more doubts. Can you kindly clarify them ? 1. Ryder is not an investment entity. But when they say group operates in hospitality and then say ryder does not trade .what does that mean ? What does Ryder do then ? 2. With respect to primal burgers disposal since its after year end it would come under the scope of IAS 10. But shouldn't it be a adjusting event as the board approved this in March which provides evidence of conditions at the year end 3. If the investment in peppers is considered as a JOINT VENTURE , is there any significance to the date August as its just one month before year end in our calculations ?

1. The separate entity Ryder Co "does not trade" means that it is just a holding company (i.e. it holds investments in subsidiaries that trade). (Parent used to always be called "holding" companies but that was confusing because it suggested that parent's did not trade - when, of course, many do.) In the UK, many non-trading parents have "(Holdings)" in the company name. 2. Absolutely not - it is a matter of fact that at the reporting date, Ryder controls the subsidiary; it must therefore be consolidated. The only exclusion to non-consolidation of a subsidiary is where it has been acquired for resale and meets the IFRS 5 criteria. 3. It makes the focus of the risk on classification of the investment in SoFP (as prompted by (c)(i) - so you don't have to worry about effect on SoPL (for example) because post-acq share of profit would most likely be immaterial (it would not be unreasonable to assume this).

I meant to add Izabel, that I hope you will participate in the "Marking exercise" which is sticky posted at the top of this forum.

Thank you very much for your brilliant clarifications :) God bless you

You are most welcome Izabel - it is a pleasure to help you!