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SCF- Difference between subsidiary and associate

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBR Exams › SCF- Difference between subsidiary and associate

  • This topic has 1 reply, 2 voices, and was last updated 8 years ago by P2-D2.
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  • August 20, 2017 at 2:57 pm #402638
    saqlainrattansi
    Member
    • Topics: 93
    • Replies: 97
    • ☆☆

    In what areas does the treatment of subsidiaries and associates differ when it comes to the SCF?

    August 20, 2017 at 5:51 pm #402693
    P2-D2
    Keymaster
    • Topics: 4
    • Replies: 7207
    • ☆☆☆☆☆

    Hi,

    It differs massively. The only adjustments for the associate are the dividends received from associate and any purchase/disposal.

    The subsidiary also could be acquired/sold in the year resulting in inflows or outflows but we also need to adjust the balances acquired/disposed during the year.

    Thanks

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