Which of the following is not a characteristic of joint arrangement classified as joint

operation? The operators have right to the assets and obligation for the liabilities of
the operation The legal form of the separate vehicle does not confer separation
between the operators and the separate vehicle The operators have right to the net
assets of the operation. Without a separate vehicle, the joint arrangement is always
classified as joint operation
General Feedback
The operators have right to the net assets of the operation.

IFRS 11 defines joint arrangement as an arrangement over which two or more parties
have joint control which is the contractually agreed sharing of control of an arrangement,
which exists only when the decisions about the relevant activities require the unanimous
consent of the parties sharing control. What is the classification of the joint arrangement
if the business formed is not structured through a separate vehicle? Joint operation
only Joint venture only Either Joint operation or Joint venture depending on the
substance of the transaction Jointly controlled entity
General Feedback
Joint operation only