Significant influence is defined in AASB 124 as:
A) A majority ownership relationship such that the parent entity is able to dominate the decision-making of the other entity.
B) The exercised ability to materially affect the financial and operational decisions of another entity.
C) The influence that is attached to owning a parcel of shares or other equity instruments of another entity.
D) The power to participate in the financial and operating policy decisions of an entity, but is not control over those policies.
E) None of the given answers.

Question

Quizplus · Accepted Answer

Significant influence, as defined in accounting standards like AASB 124, refers to the power to participate in the financial and operating policy decisions of an entity, but not having control over those policies.

Significant Influence Is Defined in AASB 124 As