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Chapter 20

Example 17.2

Dividend received from associate = $2,375k

Investment in associate
B/f 1,000 Dividends received β 2,375

Share of associates profits 3,750

Share of OCI 125 C/f 2,500

––––– –––––
4,875 4,875
––––– –––––

Alternative working (no T account)

$000
Opening investment in associate 1,000
Share of profit 3,750

Share of OCI 125
Dividend received β (2,375)

–––––
Closing investment in associate 2,500

–––––

The dividends received from associates will be held under 'cash flows from
investing activities' within the statement of cash flows.

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