About
IFRS 11 establishes principles for financial reporting by entities that have an interest in arrangements that are controlled jointly (joint arrangements).
A joint arrangement is an arrangement of which two or more parties have joint control. Joint control is the contractually agreed sharing of control of an arrangement, which exists only when decisions about the relevant activities (ie activities that significantly affect the returns of the arrangement) require the unanimous consent of the parties sharing control.
What you should know
- Know and apply the definitions related to joint arrangements.
- Determine whether joint control exists.
- Distinguish between joint operations and joint ventures.
- Account for a joint operator’s share of assets, liabilities, revenue and expenses.
- Account for joint ventures using the equity method.
- Present and disclose interests in joint arrangements in the financial statements.