Control Is Defined in AASB 3 as the 'Capacity to Manage

question 59

True/False

Control is defined in AASB 3 as the 'capacity to manage the policies of another entity':

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Definitions:

Leading Object Rule

The Leading Object Rule is a legal principle that allows for oral modifications to a written contract if the modification serves a purpose primarily related to the object of the original contract.

Parol Evidence Rule

a legal principle that prevents the parties of a written contract from presenting extrinsic evidence of terms of the agreement that contradict, modify, or vary contractual terms.

Main Purpose

The primary objective or aim intended to be achieved by something or someone.

Collateral Contract

A secondary agreement made in addition to a primary contract, which induces a party to enter into the primary contract.