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Annual Report 2016
ASIA MEDIA GROUP Berhad
73
Notes to the Financial Statements
(continued)
3.
Summary of significant accounting policies (cont’d)
3.1 Basis of consolidation (cont’d)
(d) Loss of control
Upon the loss of control of a subsidiary, the Group derecognises the assets and
liabilities of the former subsidiary, any non-controlling interests and the other
components of equity related to the former subsidiary from the consolidated statement
of financial position. Any surplus or deficit arising on the loss of control is recognised
in profit or loss. If the Group retains any interest in the former subsidiary, then such
interest is measured at fair value at the date the control ceases. Subsequently it is
accounted for as an equity-accounted investee or as an available-for-sale financial
asset depending on the level of influence retained.
(e) Non-controlling interests
Non-controlling interests at the end of the reporting period, being the equity in a
subsidiary not attributable directly or indirectly to the equity holders of the Company,
are presented in the consolidated statement of financial position and statement
of changes in equity, separately from equity attributable to equity holders of the
Company. Non-controlling interests in the results of the Group is presented in the
consolidated statements of comprehensive income as an allocation of the profit or
loss and the comprehensive income for the year between non-controlling interests
and the equity holders of the Company.
Losses applicable to non-controlling interests in a subsidiary are allocated to the
non-controlling interests even if doing so causes the non-controlling interests to have
a deficit balance.
Transactions with non-controlling interests are accounted for using the entity concept
method, whereby, transactions with non-controlling interests are accounted for as
transactions with owners. On acquisition of non-controlling interests, the difference
between the consideration and book value of the share of the net assets acquired
is recognised directly in equity. Gain or loss on disposal to non-controlling interests
is recognised directly in equity.
(f) Transactions eliminated on consolidation
Intra-group balances and transactions, and any unrealised income and expenses
arising from intra-group transactions, are eliminated in preparing the consolidated
financial statements.