IAS 24, Related Party Disclosures (revised), is effective for annual periods beginning on or after 1 January 2011. The revised standard states that an entity is a related party of the reporting entity where it is 'an associate or joint venture of the other entity (or an associate or joint venture of a member of the group of which the other entity is a member)'. In ABC pic's consolidated financial statements, the reporting entity is ABC group. XYZ Ltd is an associate of ABC group and is therefore a related party. The transaction should be disclosed in ABC pic's consolidated financial statements.
展开▼