In its 2002 annual report, Nokia provides consolidated financial statements for the Nokia Group prepared under IFRS.
Question:
In its 2002 annual report, Nokia provides consolidated financial statements for the Nokia Group prepared under IFRS. These statements combine the annual report of the Nokia parent company, based in Finland, with those of its many subsidiaries around the world. Nokia also provides parent-level statements prepared under Finnish Accounting Standards. A summary of the 2002 group and parent-level balance sheets follows.
Required:
Refer to Chapter 16 on consolidated financial statements for these questions.
1. Why might a parent company report no holdings of property, plant and equipment on its balance sheet?
2. Why might a parent company report no significant deferred tax items?
3. Why does the Nokia Group report no loans to or liabilities from group companies?
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