Oh, I guess the curriculum says the deadline for that change was pushed back to 1/1/15. Guess that means proportionate consolidation is still allowed. Glad I went back and reread that.
It’s also worth noting proportionate consolidation can be used in special situations, even if it’s elimination is pushed out (I didn’t know that frankly)
i still don’t quite grasp what the difference is between this and the acquisition method. Does anything have an explaination of the differences? Is it Goodwill?
I would not be using Investopedia as a source here. That’s clearly an outdated description. It’s vague and misleading.
Bottom line: Only in rare circumstances will proportionate consolidation be allowed for joint ventures under IFRS and US GAAP. (Source: CFAI errata for Level II as of May 7, 2014)