Q. INDAS 24 query

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Question added Oct 27, 2023 Ind AS By Jugraj Singh, CA, noida
Background:

Company A Limited, Promoter of A Limited and B Limited has entered into a binding agreement, wherein Promoter of A Limited will sell his 24% shareholding of Company A to Company B Limited.
Post purchase of Shares from promoter of  A Limited, Company B will appoint 1 Representative in BOD of Company A.

Company C is Subsidiary of B Limited.
Company D is Subsidiary of A Limited.

Company E is Associate of B Limited
Company F is Associate of A Limited

Query:

1. Does A limited & B Limited are Related party as per INDAS 24 ?
2. Does C Limited which is a Subsidiary of B Limited is also Related party to Company A Limited?
3. Does C Limited and D Limited are related party?
4. Does E Limited is also related party to A Limited?
5. Does E & F Limited are related party?
6. Does B Limited and F limited are related party?
7. Does D limited and B limited are related party?
8.Does A limited & B Limited are Related party as per INDAS 24 in case investment in A Limited is in nature of a portfolio financial investment held by B Limited

Concept by CA Pramod Jain

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