(IFRS) for Small and Medium-sized Entities (SMEs)

IFRS FOR SMES – JULY 2009Disclosures in separate financial statements9.27 When a parent, an investor in an associate, or a venturer with an interest in ajointly controlled entity prepares separate financial statements, those separatefinancial statements shall disclose:(a)(b)that the statements are separate financial statements, anda description of the methods used to account for the investments insubsidiaries, jointly controlled entities and associates,and shall identify the consolidated financial statements or other primaryfinancial statements to which they relate.Combined financial statements9.28 Combined financial statements are a single set of financial statements of two ormore entities controlled by a single investor. This IFRS does not require combinedfinancial statements to be prepared.9.29 If the investor prepares combined financial statements and describes them asconforming to the IFRS for SMEs, those statements shall comply with all of therequirements of this IFRS. Intercompany transactions and balances shall beeliminated; profits or losses resulting from intercompany transactions that arerecognised in assets such as inventory and property, plant and equipment shall beeliminated; the financial statements of the entities included in the combinedfinancial statements shall be prepared as of the same reporting date unless it isimpracticable to do so; and uniform accounting policies shall be followed for liketransactions and other events in similar circumstances.Disclosures in combined financial statements9.30 The combined financial statements shall disclose the following:(a)(b)(c)(d)(e)the fact that the financial statements are combined financial statements.the reason why combined financial statements are prepared.the basis for determining which entities are included in the combinedfinancial statements.the basis of preparation of the combined financial statements.the related party disclosures required by Section 33 Related Party Disclosures.48 © IASCF