Question
COMPANY STATUS % VOTING RIGHTS COMMENTS Ariya Domestic 100% Operations differ from those of Marzi AG and other subsidiaries Jighil Domestic 45% No other shareholder
COMPANY STATUS % VOTING RIGHTS COMMENTS
Ariya Domestic 100% Operations differ from those of
Marzi AG and other subsidiaries
Jighil Domestic 45% No other shareholder owns more
than 0.1% of the voting rights
Arina Foreign 30% Arina has incurred a net operating
loss three years in a row
Sophia Domestic 100% Sophia is under jurisdiction of
bankruptcy court
Kristen Domestic 100% Operations are immaterial to those of
Marzi AG
Layla Domestic 40% Management control contract
provides Marzi AG with effective control
Sara Domestic 90% Marzi AG intends to sell one-half of
its investment in Sara but not yet actively seeking a buyer
Sahar Foreign 50% Sahar is jointly owned with another company
Sepeed Foreign 15% No other shareholder owns more than 10% of voting shares
Shaghi Foreign 70% Marzi AG can no longer bring home
its dividends due to the host government passed a ban on repatriation of dividends
Zohreh Domestic 51% Remaining 49% is owned by another
company.
1.Determine the appropriate method for including each of these investments in Marzi AGs consolidate financial statements in accordance with:
IFRS
U.S. GAAP
The answers to the cases must include all calculations in details and adequate written explanation.
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