Advanced Accounting (Canada) · Changes in Ownership (step purchase, disposal, loss of control, preferred, indirect)

An investor's FVTPL stake grows into significant influence without any business combination. Does it go back and restate prior periods, and what becomes its cost base under the equity method?

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More in Changes in Ownership (step purchase, disposal, loss of control, preferred, indirect)

A parent that already controls a subsidiary buys more of its shares from NCI. Is this a new business combination, and does goodwill get touched?

On a step purchase that achieves control, the parent already held a 30% equity-method interest in the acquiree. What does it do with that prior interest, and where does the effect land?

Before control, a stake later stepped up to control may sit under two measurement bases. Which two, and why does it matter which one applied when you remeasure at the step-up?

A parent changes its ownership in a subsidiary. What single fact decides whether the change is an equity transaction or generates a gain/loss in net income?

A parent sells part of its subsidiary shares but keeps control. It receives proceeds above the book value of the interest given up. Where does the excess go?

When allocating a subsidiary's net income, in what order do preferred dividends and the parent/NCI split happen, and who gets the preferred claim?

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