According to AASB 10 Consolidated Financial Statements,the following factors indicate the existence of control:
I.Possessing existing rights that give the current ability to direct the relevant activities
II.Shared power in the governance of financial and operating policies of another entity so as to obtain benefits.
III.The power to govern the operating policies of an entity so as to obtain benefits.
IV.Ownership of more than 50% of the voting power in the subsidiary.
A)I,II and III only
B)I and IV only
C)II and IV only
D)IV only.

Question

Quizplus · Accepted Answer

AASB 10 defines control as having power over the investee, exposure or rights to variable returns, and the ability to use power to affect returns. Possessing rights to direct activities (I) and owning more than 50% voting power (IV) are indicators of control.

According to AASB 10 Consolidated Financial Statements,the Following Factors Indicate