Where an Entity Controls Another Entity but Holds Less Than

question 10

Multiple Choice

Where an entity controls another entity but holds less than half of the other entity's voting rights,AASB 12 Disclosure of Interests in Other Entities,requires which of the following disclosures be made?

• A)The reasons why the ownership of the investee does not constitute control.
• B)The nature of the relationship between the investor and investee.
• C)The significant judgements and assumptions it has made in determining the nature of the interest in the other entity.
• D)The amount of any repayments of borrowings between the investor and investee during the period.

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Definitions:

Human Communication

Human communication involves the exchange of information between individuals through verbal, non-verbal, written, and digital mediums to convey and understand messages.

Interviews

A qualitative research method involving direct, face-to-face conversation between the interviewer and the respondent to gather information or opinions.

Nonprobability Sampling

A sampling method where elements of the population do not have a known or equal chance of being selected, often used for exploratory research or when probability sampling is not feasible.

Probability Sampling

A sampling method that gives every member of the population a known chance of being selected.