SNZ Ltd$.$ Is a corporation established by BDD Inc. for the sole purpose of owning and leasing a property. An outside investor financed the purchase of the property with cash in exchange for $100\%$ of common shares of SNZ and a guranteed annual return of $5\%.$ The property is leased back to BDD to be used in BDD$\text{'}$s business operations. According to the governing document, BDD has veto power on all key opeating, investing, and financing decisions for SNZ$.$ BDD is entitled to $100\%$ annual profit from SNZ$.$ BDD follows IFRS.

Required:

a$.)$ Explain in detail the relationship of SNZ$.,$ the outside investor and BDD under IFRS.

b$.)$ Base on your answer in a$.)$ how should BDD account for its involvement with SNZ in its book?"