- 5 Marks
FR – Dec 2022 – L2 – Q5d – Distinction Between Joint Venture and Joint Operation
This question asks candidates to explain the distinction between joint ventures and joint operations under IFRS 11.
Question
An investor entity can enter into a contractual arrangement with another entity in which unanimous consent of both parties is required in order to take decisions relating to operating and financial policies of the investee. Such an arrangement could either be a joint venture or a joint operation.
Required:
Explain the distinction between joint venture and joint operation under IFRS 11: Joint Arrangements.
Find Related Questions by Tags, levels, etc.
- Tags: Financial Reporting, IFRS 11, Joint Arrangements, Joint Operation, Joint Venture
- Level: Level 2
- Topic: Financial Reporting Standards and Their Applications
- Series: DEC 2022
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