Accounting of affiliates and business partnership investment within the scope of TAS 28, TFRS 11 and TFRS 12 and presentation of financial statements

Businesses can earn revenue by assessing excess liquidity in other businesses. Business invests in the other businesses by lending to the other business or contributing to the equity . They expect to get the interest income in the case of debt they gave and to get income from dividens , participation in management and value increases in the case of other business's additive to its equity . When the investor thinks he or she will hold the investment within the scope of classification of investments in other businesses , monitoring and valuation in records ; Matters such as the control power or the presence of significant influence on the invested enterprise are important. If the investor has made this investment for short-term speculative purposes , this is a financial assert and it is classified , recorded , evalued and presented in accordance with TMS 32, TMS 39 or TFRS 9 standarts . If the entity invests in the equity of other entity in a long-term and expects to gain dividens , participation in management and value increase , in this case the control power or the presence of significant influence over the business is important . If the entity has the control over the business in which it invests , this is a partnership and it is classified , recorded , evaluated and presented in accordance with TFRS 3 , TFRS 10 and TFRS 12 standarts ( if it is deemed necessary by the regulator , TMS 27 . On the other hand , if there is significant influence on the other entity , this is an affiliate or partnership . It is classified, recorded , evaluated and presented in accordance with TMS 28 , TFRS 11 or TFRS 12 . Although investments in other businesses are very comprehensive, in this study, only the classification, registration, evaluation and presentation of associates, joint ventures and investments in accordance with TFRS is discussed. In the first part of work, basic explanatory concepts are mentioned. In the second part, accounting for investment in associate and business partnership, presentation in financial statement and footnote explanations are included. In the third part, sample application explaining the transition phase of VUK, TMS/TFRS for subsidiary and business partnership are included. Key Words: Significant Impact, Participation, Joint Agreement, Business Partnership, Joint Activity, TMS , TFRS .