DSquaredSlim

I was a little unclear from doing the readings, so help me out here. For investment in financial assets, I understand that under GAAP and IFRS you can report them as either held to maturity (for debt), held for trading or available for sale. Under IFRS, designated at fair value is equivalent to held for trading.

It seemed like the reporting under GAAP and IFRS for all of these designations was the same, except with available for sale securities where under GAAP all unrealized gains/losses come in equity while under IFRS only part of the unrealized losses are recognized if there are any G/L from changes in FX.

Am I right, or did I miss some nuance?

I'm also a little confused about business combinations. With a 50/50 JV IFRS would have you use proportionate consolidation while GAAP would have you use equity method? Getting higher than 50/50 you would use the acquisition method with IFRS and you could choose between acquisition and equity method with GAAP? So the only time you could use proportionate consolidation is with a 50/50 JV under IFRS?

Any misstatements there?