Subsidiary company consolidation, Financial Accounting

Assignment Help:

Circumstances under which a subsidiary company can be excluded from consolidation

Consolidated financial statements shall include all subsidiaries of the parent

A parent need not present consolidated financial statements if and only if;

1) The parent is itself a wholly owned subsidiary, or is a partially-owned subsidiary of another entity and its other owners, including those not otherwise entitled to vote, have been informed about, and do not object to, the parent not presenting consolidated financial statements.

2) The parent’s debt or equity instruments are not traded in a public market (a domestic or foreign stock exchange or an over-the-counter market, including local and regional markets).

3) The parent did not file, nor is it in the process of filling, its financial statements with securities commission or other regulatory organization for the purpose of issuing any class of instruments in a public market.

4) The ultimate or any intermediate parent of the parent produces consolidated financial statements available for public use that comply with international financial reporting standards.


Related Discussions:- Subsidiary company consolidation

Trust accounts-breach of law-trusts accounts, TRUST ACCOUNTS (a) Obje...

TRUST ACCOUNTS (a) Object of trust accounts : To demonstrate that the trust funds have been applied in accordance with the trust instrument; To give details of tra

Determine the payback period for a project, GoFlo is a small growing firm t...

GoFlo is a small growing firm that is considering the purchase of another truck to serve GoFlo's expanding customer base. The new truck will cost $21,000 and should generate annual

The matching rule is applied ?, The matching rule is applied a. because it ...

The matching rule is applied a. because it is required by the Internal revenue Code b. by expensing certain items immediately and in their entirety c. to help make the bookkeeper's

Time value of money, The concept that money has time value is one of the mo...

The concept that money has time value is one of the most fundamental notions of investment analysis. For any type of productive asset its value will based on the future cash flows

One more interest payment, 1. What will be the value of every of these bond...

1. What will be the value of every of these bonds when the going rate of interest is 4%? Suppose that there is only one more interest payment to be made on Bond S. Round your answe

Help, I need help with my homework

I need help with my homework

Determine expected future cash flows, Q. Determine expected future cash flo...

Q. Determine expected future cash flows? A rights issue will be a smart source of finance to Tirwen plc as it will reduce the gearing of the company. The current debt/equity ra

Need answer, Suppose a company will issue new 25-year debt with a par value...

Suppose a company will issue new 25-year debt with a par value of $1,000 and a coupon rate of 8%, paid annually. The tax rate is 40%. If the flotation cost is 3% of the issue proce

Capital expenditure as a percentage of total asset, Analyze one completed M...

Analyze one completed M&A transaction from recent times There are two main requirements (1) an analysis of the strategic and economic rationale behind the merger, and (2) an analy

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd