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Company P Q R is a manufacturing company that has significant transactions with related parties. During the year ended December 3 1 , 2 0
Company is a manufacturing company that has significant transactions with related parties. During the year ended December the following related party transactions occurred:
Company PQR sold goods to its wholly owned subsidiary, SubCo, at a price of The goods were delivered on October
SubCo resold these goods to external customers for during the same year.
The fair value of the goods sold by Company PQR to SubCo was R
Company also provided consulting services to another related party, AssociateCo, for which it received The services were rendered evenly throughout the year.
AssociateCo paid R upfront, and the remaining will be settled in the next financial year.
Source: Gregory, H
Required:
Prepare the necessary disclosures related to these transactions in the related party note of Company PQRs financial statements for the year ended December following the requirements of IAS Assume that Company PQR recognises revenue when control of goods or services is transferred.
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