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FRS 102: Investments in associates and joint ventures under UK GAAP

FRS 102 Section 14 Investments in Associates sets out the requirements that apply to investments in entities where the investor has significant influence. Section 15 Investments in Joint Ventures applies to investments in jointly controlled operations, jointly controlled assets or jointly controlled entities.

The standard

The requirements regarding investments in associates and joint ventures are set out as part of FRS 102. However, individual sections of the standard should not be looked at in isolation as other parts may be relevant.

FRS 102 is regularly updated and amended by the Financial Reporting Council (FRC). For the full text of FRS 102, guidance on which version of the standard to apply and notes on recent amendments, see our main FRS 102 page.

ICAEW guides and support

Helpsheets and factsheets

Disclosure of related undertakings, parent entities and ultimate controlling parties

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01-12-2015

Technical helpsheet to help ICAEW members understand the disclosure requirements for companies with regard to their subsidiaries, associates, joint ventures, parents and controlling parties. This helpsheet explores the requirements for small companies preparing their accounts under FRS 102 Section 1A, as well as medium or large companies preparing their accounts under full FRS 102.

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Investments in joint ventures

A chapter on accounting for investments in joint ventures, in this title providing accountants and auditors with easy to follow guidance on the preparation of group accounts in line with UK GAAP. Topics include: Defined terms, Types of joint venture under UK GAAP, Transactions between a venturer and a joint venture, Group issues, Investors that do not have joint control, Disclosures.

Investments in associates

A chapter on accounting for investments in associates, in this title providing accountants and auditors with easy to follow guidance on the preparation of group accounts in line with UK GAAP. Topics include: Scope of FRS 102 and FRS 105, Group issues, Definition of an associate and significant influence, Measurement - Accounting Policy Election, Fair Value Models, Disclosure requirements.

Sale and leaseback transactions

A detailed, practical chapter on financial reporting of of sale and leaseback transactions under section 20 of FRS 102 and section 15 of FRS 105 on leases, with worked examples. These transactions have become increasingly common as a means of sourcing finance. The chapter includes sections on sale and leaseback as a finance and as an operating lease.

Associates and joint ventures

A chapter on financial reporting of investments in associates and joint ventures under FRS 102, sections 14 and 15 and FRS 105, section 7. This key title by Steve Collings has been comprehensively updated to reflect changes issued by the Financial Reporting Council (FRC) since 2019.

Terms of use: You are permitted to access, download, copy, or print out content from eBooks for your own research or study only, subject to the Acceptable usage terms.

eBooks

The Library provides full text access to a selection of key business and reference eBooks from leading publishers. eBooks are available to logged-in ICAEW members, ACA students and other entitled users. If you are unable to access an eBook, please see our Help and support advice or contact library@icaew.com.

Investments in joint ventures

Fully updated guide focusing on each area of the financial statement in detail with illustrative examples. This chapter gives a comparison of FRS 102 Section 15 and IFRS. It covers the definition of joint venture and related terms; jointly controlled operations, assets and entities; the equity method; transactions between a venturer and joint venture; transactions to create a jointly controlled entity; and company law matters.

Investments in associates

Fully updated guide focusing on each area of the financial statement in detail with illustrative examples. This chapter gives a comparison of FRS 102 Section 14 and IFRS, and discusses the definitions of associate, measurement, presentation and disclosures, changes in ownership interest, distributions received in excess of the carrying amount, and equity transactions.

Consolidated and separate financial statements

Fully updated guide focusing on each area of the financial statement in detail with illustrative examples. This chapter gives a comparison of FRS 102 Section 9 and IFRS, and covers the requirement to present consolidated financial statements, the definition of a subsidiary, special purpose entities (SPEs), subsidiaries excluded from consolidation, consolidation procedures, accounting for associates and jointly controlled entities in individual and separate financial statements, group reorganisations, and other topics.

Financial investments

A practical manual for preparing new UK GAAP-compliant disclosures. This chapter discusses disclosure requirements for investments in subsidiaries, associates and joint ventures under FRS 102 Section 14 and FRS 102 Section 15.

Terms of use: You are permitted to access, download, copy, or print out content from eBooks for your own research or study only, subject to the terms of use set by our suppliers and any restrictions imposed by individual publishers. Please see individual supplier pages for full terms of use.

Example accounts

Model accounts and disclosure checklists for UK GAAP
The ICAEW Library can provide model accounts and disclosure checklists for FRS 101, FRS 102, FRS 102 Section 1A, FRS 103 and FRS 105. The examples and checklists cover a broad range of entities, including small companies, charities, groups, LLPs and micro-companies.


Further reading

Manuals and handbooks

The ICAEW Library stocks the latest UK GAAP handbooks and manuals. You can browse all our books on FRS 102 and associates or joint ventures or request any of the following popular titles by contacting us on +44 (0)20 7920 8620, by web chat, or at library@icaew.com

GAAP 2019: UK reporting – FRS 102 (Volume B)
Deloitte, Croner-i, 2019
Comprehensive manual explaining how to apply FRS 102, with worked examples and extensive interpretation and guidance. The chapters on associates and joint ventures cover the definition and classification of associates and joint ventures, jointly controlled operations, assets and entities, transactions between a venture and a joint venture, if an investor does not have joint control, measurement, presentation, and disclosures.

Manual of accounting: UK GAAP
PwC, Lexis Nexis, 2019
Practical guide with worked examples throughout, dealing with day-to-day issues as well as complex questions. The chapters on associates and joint ventures give definitions of terms, and cover accounting for different forms of joint venture, measurement issues, presentation and disclosure.

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