Consolidations – From theory to practical case studies – 3 Sessions (M21014)

Event Agenda

Topics on the agenda:

Theory:

1. An introduction to consolidation.

2. The Companies that need to consolidate and the companies that do not.

3. An overview of Companies Act provisions regulating consolidated financial statements.

4. A compare and contrast exercise between IFRS and GAPSME.

5. Resolving conflicts between different laws and regulations.

6. A sound theoretical foundation before applying the practice, i.e. discussion of concepts and practical applications of notions such as control, goodwill, consolidated retained earnings, the main consolidation adjustments and non-controlling interest (NCI).

7. Concluding theoretical remarks and summaries.

Practice:

8. A series of case-studies illustrating consolidation techniques:

 – Basic consolidation of a fully-owned subsidiary
– Basic consolidation of a subsidiary that is not fully-owned using the share of net assets method.
– Basic consolidation of a subsidiary that is not fully-owned using the fair value method.
– Basic consolidation of a subsidiary that is also a customer.
– Basic consolidation of a subsidiary that is also a supplier.
– Basic consolidation of a subsidiary that distributed a dividend.
– Consolidation of a subsidiary acquired by cash.
– Consolidation of a subsidiary acquired by deferred consideration.
– Consolidation of a subsidiary acquired by granting of acquirer’s shares.
– Consolidation of a subsidiary acquired, of which assets’ fair values differ from carrying amounts.
– Advanced consolidations: complex structures
– Advanced consolidations: subsidiaries in foreign currencies
– Advanced consolidations: impairment issues
– Advanced consolidations: deferred tax issues

9. Accounting treatment of step-acquisitions and disposals:
– Step-acquisitions: from no influence to control
– Step-acquisitions: from influence to control
– Step-acquisitions: from control to control
– Disposals: from control to zero
– Disposals: from control to no influence
– Disposals: from control to influence
– Disposals: from control to control

10. Relevant presentation and disclosure aspects