United States

In the Headlines: Measuring the Fair Value of Investments in Subsidiaries, JVs and Associates

Sep 22, 2014
From the Financial Reporting View and the IFRS Institute

In the Headlines 14-18 summarizes the IASB Exposure Draft, Measuring Quoted Investments in Subsidiaries, Joint Ventures and Associates at Fair Value (Proposed amendments to IFRS 10, IFRS 12, IAS 27, IAS 28 and IAS 36 and Illustrative Examples for IFRS 13), which would clarify that (1) the fair value for investments in subsidiaries, joint ventures, and associates that are quoted in an active market should be measured as the product of the quoted price times quantity and (2) the unit of account for those investments should be the investment as a whole. The proposal would eliminate diversity in practice under which some entities adjust the value for a premium or discount related to the size of the holding. The comment period ends January 16, 2015.

Read In the Headlines 14-18