IASB proposes amendments to IAS 27 to allow equity method

BY KEN TYSIAC

Narrow-scope amendments to IAS 27 proposed Monday by the International Accounting Standards Board (IASB) would allow entities to use the equity method to account for investments in subsidiaries, joint ventures, and associates in their separate (parent-only) financial statements.

The proposed changes are designed to reduce compliance costs while providing information that will aid in assessment of the investor’s net assets and profit or loss.

Public comment on the exposure draft, Equity Method in Separate Financial Statements, can be made through Feb. 3 at the IASB’s website.

Ken Tysiac ( ktysiac@aicpa.org ) is a JofA senior editor.

SPONSORED REPORT

Why cybercriminals are targeting CPAs

This free report expands on the most commonly found scams, why education and specialized IT knowledge help to lessen security vulnerabilities, and why every firm should plan carefully for how it would respond to a breach.

PODCAST

How tax reform — and Excel — are changing the CPA Exam

Mike Decker, the vice president of examinations at the AICPA, discusses changes being made to the exam as a result of tax reform — and about how Excel will now be available for use on the test.