FRS 102- Joint Operation - Jointly controlled operation-treatment

Joint Operation

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Two companies have entered into an contractual agreement to set up a jointly controlled operations.  The companies have loaned money to the operation - which is not a separate legal entity- money for the start up.  All expenses are incurred by the operation directly or the other two companies that the recharge the expenses back to the operation. The operation has his own bank account.

So the operation as his own P/L Account and also a Balance Sheet. Per agreement I can split the part that belongs to the companies back to the companies. 

At the year-end will I prepare consol accounts with the jointly controlled operations included in the result?  Would I name it as consolidated financial statements, or is a note of the results of the joint operation sufficient?

 

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