Where a Subsidiary Records a Gain on the Intragroup Sale

question 45

True/False

Where a subsidiary records a gain on the intragroup sale of a non-current depreciable asset to another entity within the group, NCI adjustments are required in relation to both the gain on sale as well as the consequential depreciation adjustments resulting from the group's continued use of the asset.

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Definitions:

Minimize Occurrence

Efforts or measures taken to reduce the frequency or likelihood of an event or condition happening.

Collaboration

The action of working with someone to produce or create something.

Win-Win Solution

An outcome of a negotiation where all parties feel they have achieved a satisfactory resolution.

Miscommunication

A failure to convey or understand information accurately, leading to misunderstandings or confusion.