IAS 27 - Separate Financial Statements
Financial Dictionary — IFRS & IAS Standards
Definition
IAS 27 deals with accounting and disclosure requirements for investments in subsidiaries, joint ventures and associates in an entitys separate financial statements.
Detailed Explanation
IAS 27 deals with separate financial statements and how an entity accounts for investments in subsidiaries, joint ventures, and associates when not presenting consolidated statements.
Common Uses
- Used when applying IFRS/IAS requirements for recognition, measurement, presentation, or disclosure.
- Used to justify accounting treatments in working papers and financial statement notes.
- Used to justify accounting treatments in working papers and financial statement notes.
Practical Example
- Example: When preparing year-end reporting, management applies **IAS 27 - Separate Financial Statements** to determine the correct IFRS treatment and disclosures.
Why This Term Matters
- Why it matters: Ensures compliance with IFRS, improves comparability across periods and entities, and reduces financial reporting risk.