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No. The subsidiary does not generate independent CFs? I would be interested in both scenarios: a) without independent CFs and b) with independent CFs (if possible and it is not too much time-consuming. I didn't think about the value of investment in subsidiary but I thought about individual (separat...

Hello, may I ask you for help with impairment loss in separate FS? The methodology says that it impairment is calculated on asset or CGU basis on consolidated basis. Should I recongize the same impairment loss in consolidated and separate FS on the assets e.g. subsidiary'has 70 bln in assets and abo...

Hello, May I kindly ask for help with the calculation of proper WACC under IAS 36? The risk-free interest rate used for the calculation should: a) over a 5-year period - it appears strange to me because CFs are extrapolated b) over key asset's useful life - One manual says: The discount rate is base...

Hello, May I kindly ask which rate I should use to calculate deferred tax? The president approved tax reform (to increase the CIT rate from 19% to 21%) last month (in November 2023 but has not been enacted as of 1 December 2023 but should be a tax rate applicable after 1 December 2024). There is onl...

Hello Leo,

please excuse my late answer.

I wanted to attach Excel file but it is not allowed so I created PDF file.

I hope that the file will be understandable.

Thank you very much for your help

Best regards

Petr

Hello Leo,
please excuse my late answer.
I thought that I had left it in my previous work but I have some version (probably not the last version.
How can I send it to you? (I haven't found how to attach a file to a discussion)
Best regards
Petr

Hello, may I kindly ask about subleases of mineral rights? I expect that they are exempt from IFRS 16 requirements so they should by in the scope of IFRS 15? The revenuevrecognition is within licensing agreements (intellectual property) or "normal revenue recognition" (at a point in time o...

Hello, may I ask for a confirmation that our understanding of accounting treatment is correct for following transaction. The situation is a little bit complicated but: Subsdiary A from the group has ST lease contract with car supplier and its parent company is involved in the contract and guarantees...

Hello Leo, please my late answer but I solved different things in previous weeks and our auditors solved it as it is stated at the end of the text The situtation is as follows: Parent Level 1 - about 15 subsidiaries held directly or throught intermediate parent (parent company Level 1 and its subsid...

Hello Leo, it is conversely: parent level 3 is ultimate parent which is nearly empty company owning 76% parent level 2 - I wrote is in wrong way previously - otherwise nearly empty entity = concluded contracts for SBP with choice of settlement on employees' side => cash-settled SBP at ultimate paren...

Hello Leo, it is in the following way: Parent Level 1 - 100% ownership of parent level 2 - transactions is posted as equity-settled because the entity is receiving entity and it is not required to settle it (settlement at parent level 3 which is empty holding company) Employee expense +113 (debit) S...

Hello Leo, it is correct. We were not sure about it (whether to calculate the NCI from both i.e. change in PL and change in equity at parent 2 level or only from NCI), because if calculate it on both effects that our NCI on both effects 24% of SBP equity reserve and decrease in PL for the same amoun...

Hello Leo, it is what we were discussing at work whether the NCI should be calculated at subsidiary level (parent level 2) where there are both effects: a) decrease in PL for -113 b) increase in equity (equity-settled SBP) for +113 so no effect on equity and no reason for change in NCI or whether sh...

Hello Leo, thank you very much for the link. I have already seen the pictures on different page: https://assets.kpmg/content/dam/kpmg/xx/pdf/2018/11/ifrs-2-handbook-2018.pdf page 222 and hereafter but it didn't help me with the NCI calculation as I wrote above I found that the subsidiary (parent lev...

Hello Leo,

thank you very much.

Best regards

Petr

Hello Leo, please may I ask an additional question? Intermdiate parent (Level 2) will include in their consolidated FS Expense on equity-settled SBP -113 SBP reserve in equity +113 Ultimate parent (Level 3) will have in their consolidated FS Expense on cash-settled SBP -83 (-113+30) Cash-settled SBP...

Hello, please can somebody help me what I should use for the calculation of non-controlling interest in a group share-based payment (at parent level 1 it is posted as equity-settled SBP (in accordance with IFRS 2.43B b) but it is cash-settled at ultimate parent level). Parent 1 level posts Dr Employ...