When preparing the consolidated financial statements

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Problem 1: IF HTR parent provides a loan of $1,000,000 with 5% interest and a 5 year term loan to DFG subsidiary, does this mean that we need to reverse this transaction when preparing the consolidated financial statements? Explain.

Reference no: EM132618391

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When preparing the consolidated financial statements : 5 year term loan to DFG subsidiary, does this mean that we need to reverse this transaction when preparing the consolidated financial statements? Explain.
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