A Joint Venture is an arrangement in which a company has joint control,whereby the compnay has rights to the net assets of the arrangement, rather than rights to its assets and obligations for its liabilities. Just like in Company or Business Associates, interests in Joint Ventures are accounted for using the equity method. This means that the interests are initially recognised at cost, including transaction costs. Subsequently, after initial recognition, the consolidated financial statements include the company’s share of the profit or loss and Other Comprehensive Income (OCI) of equity-accounted investees, until the date on which joint control ceases. Compare with subsidiary, joint venture Compare with Subsidiary, Company or Business Associates,
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