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Concept of Control

Updated: Sep 1, 2019

Over the next couple of articles, we will review how certain types of transactions are recorded for financial reporting purposes. How we recognize and disclose related-party transactions (for both IFRS and ASPE) can depend on who controls the entity. So first, we shall review the concept of control.


An individual or entity is considered to have either little to no influence, significant influence, control or joint control based on its percentage ownership of the entity. The following table summarizes the different levels of control and what they mean for the reporting entity.

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