Loss-of-control

Understand how a parent company may lose control over its subsidiary and the necessary accounting steps to take when this occurs. Learn how to treat components of OCI and reclassify amounts in equity to profit or loss. Explore an illustrative example of how to account for the full disposal of a subsidiary.

Understand the impact of changes in ownership interest on a subsidiary without loss of control. Read about reattribution of OCI, reallocation of goodwill, non-cash acquisition of NCI, and transaction costs. Get an insight on how these changes are reflected in financial reporting and subsidiary management.