Huaneng Power International: Acquisition or the predecessor method? A decision on a business combination under common control

• Main Authors: TAN, Pearl, ZHANG, Tracey Chunqi, LIM, Chu-Yeong
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2024
• Subjects: Financial accounting; Financial Ratios; International Financial Reporting Standards; Regulatory compliance; Stock exchanges; Firm value; Accounting; Finance and Financial Management
• Online Access: https://ink.library.smu.edu.sg/cases_coll_all/483; https://cmp.smu.edu.sg/case/6066
• Institution: Singapore Management University

Business combinations under common control (BCUCC) are common restructuring arrangements carried out within groups of companies. However, an accounting policy choice exists. In the absence of an International Financial Reporting Standard (IFRS) on BCUCC, the receiving entity that acquired control of...