Where an entity directly holds more than 50% of the voting rights of another entity,they are presumed to have power in accordance with AASB 10 Consolidated Financial Statements.

Question

Quizplus · Accepted Answer

This is true as per the requirements of AASB 10 Consolidated Financial Statements. When an entity holds more than 50% of the voting rights in another entity, it is presumed to have control over that entity and must prepare consolidated financial statements.

Where an Entity Directly Holds More Than 50% of the Voting