Route 102 – One man’s year-long journey……Day 57

  • By Jeremy Williams
  • 07/05/2015

To mark this momentous year for UK GAAP, I'm embarking on a mission to work my way through FRS 102, reading a portion on each working day of 2015 and writing a short blog entry on my thoughts and musings (be they few or many).

Day 57 (7 May)

Today is, of course, polling day and in the interests of political impartiality I have been banned (or should that be Milibanned?) from making any further jokes at the parties' expense. So I'll proceed directly to section 15 where we examine the last type of joint venture - a jointly controlled entity (JCE). A JCE is a bit more familiar than a JCO or JCA - it's a separate entity such as a company or partnership that is jointly owned and controlled by the venturers.

Here's a fun thing to do - grab your print copy of FRS 102 (you do have one, don't you? If not - and you're a dad - then remember that Fathers' Day is coming soon and it'd make a fine gift from your adoring offspring) or else open up a couple of copies of the PDF version, and compare 14.4-14.10A (accounting for associates) with 15.9-15.15A (accounting for joint ventures). Apart from necessary language changes, the requirements are pretty much the same - and that's a change from FRS 9, which adopted a 'gross equity' approach to JVs as opposed to the 'net equity' approach to associates.

There are however a couple of specific issues for JVs which we'll turn to tomorrow (by which time the BBC and SKY news teams will be in a frenzy. Oops, there I go...)

P.S. If you missed the last instalment click here

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