A Ltd. holds 60%voting power in B Ltd.
and B Ltd holds 15%voting power in D Ltd.
further, A Ltd holds 10%voting power in D Ltd.
whether A & D are related party as per AS 18?
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related party
Replies (3)
A LTD has directly 10 percent and indirectly 15 percent through subsidiary B LTD. in total it has 25 percent with which has ability to exercise significant influence. so A LTD and D LTD are related parties.
???
can we not do it as:
A Ltd holds directly 10%&
through B Ltd it holds 15*60%=9%
therefore total interest is 19%
& hence not related party.
can we not do it as:
A Ltd holds directly 10%&
through B Ltd it holds 15*60%=9%
therefore total interest is 19%
& hence not related party.
Pradeep sir Ur answer is more favorable...!
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