Topic
  • 5 replies
  • Latest Post - ‏2010-10-01T11:35:59Z by paulyoungcga
SystemAdmin
SystemAdmin
41 Posts

Pinned topic Associated companies (equity method according to IFRS)

‏2009-06-08T12:01:25Z |
Hi!

Do you have some kind of best practise for associated companies in Controller 8.4? Below is information on equity method.
How to use different elimination tables and consolidation method E in this situation?

Equity method: A method of accounting by which an equity investment is initially recorded at cost and subsequently adjusted to reflect the investor's share of the net profit or loss of the associate (investee).

Thanks in advance!
Updated on 2010-10-01T11:35:59Z at 2010-10-01T11:35:59Z by paulyoungcga
  • Paul_Allen
    Paul_Allen
    13 Posts

    Re: Associated companies (equity method according to IFRS)

    ‏2009-06-08T15:22:57Z  
    You need to use a combination of automatic journals E100, E110, E210 and E500.

    I recommend recruiting the assistance of an expereinced consultant if you are a client.

    I have, however, attached a simple example of what each journal does.
  • SystemAdmin
    SystemAdmin
    41 Posts

    Re: Associated companies (equity method according to IFRS)

    ‏2009-06-09T20:38:19Z  
    You need to use a combination of automatic journals E100, E110, E210 and E500.

    I recommend recruiting the assistance of an expereinced consultant if you are a client.

    I have, however, attached a simple example of what each journal does.
    Hi Paul!

    Thanks for your reply. Your guidance really helped and now associate companies work as they should!

    Br, Jussi
  • Paul_Allen
    Paul_Allen
    13 Posts

    Re: Associated companies (equity method according to IFRS)

    ‏2009-06-10T15:43:47Z  
    Hi Paul!

    Thanks for your reply. Your guidance really helped and now associate companies work as they should!

    Br, Jussi
    You're welcome
  • Dhims
    Dhims
    2 Posts

    Re: Associated companies (equity method according to IFRS)

    ‏2010-07-08T16:02:11Z  
    You need to use a combination of automatic journals E100, E110, E210 and E500.

    I recommend recruiting the assistance of an expereinced consultant if you are a client.

    I have, however, attached a simple example of what each journal does.
    Hey, i have seen the above file. this example represents when Investment is equal to share of net worth (i.e. 700). I would like to know what if investment is more or less than share capital. In other words, how to handle goodwill or capital reserve.

    Thanks in advance.
  • paulyoungcga
    paulyoungcga
    2 Posts

    Re: Associated companies (equity method according to IFRS)

    ‏2010-10-01T11:35:59Z  
    • Dhims
    • ‏2010-07-08T16:02:11Z
    Hey, i have seen the above file. this example represents when Investment is equal to share of net worth (i.e. 700). I would like to know what if investment is more or less than share capital. In other words, how to handle goodwill or capital reserve.

    Thanks in advance.
    There are several documents available on the DeveloperWorks site around automatic journals.

    http://www.ibm.com/developerworks/views/data/libraryview.jsp?sort_order=1&product_by=Cognos&search_by=cognospp%20financial%20management&sort_by=Title&sort_order=1&count=100&topic_by=All%20Topics&search_flag=true&show_abstract=true