Other aspects of the consolidated balance sheet, Financial Accounting

OTHER ASPECTS OF THE CONSOLIDATED BALANCE SHEET

The consolidated balance sheet may require a special approach under the following situations:

1) Pre-acquisition losses in subsidiary company on date of acquisition: If the subsidiary company has a loss on the date of acquisition i.e. a debit balance in the retained profits (profit and loss) account, then in computing good will, the entry to cost of control of profit and loss on acquisition

2) Acquisition during the financial period (particularly during the financial period): The holding company may acquire the subsidiary company partway through the financial period such that as at the balance sheet date, the subsidiary company has been held for a period of less than 12 months.

3) Group structures: A group structure is the relationship between the holding company and its subsidiaries. There are normally four main types of group structures (apart from the holding company and one subsidiary).

Posted Date: 12/12/2012 3:11:32 AM | Location : United States







Related Discussions:- Other aspects of the consolidated balance sheet, Assignment Help, Ask Question on Other aspects of the consolidated balance sheet, Get Answer, Expert's Help, Other aspects of the consolidated balance sheet Discussions

Write discussion on Other aspects of the consolidated balance sheet
Your posts are moderated
Related Questions
KAM Computer Timeshare Company entered into the following transactions durnig May 2014 Decribe the effects of each transaction on assets, liabilities, and owner's equity. 1. Purcha

Proposed dividends by subsidiary company If the subsidiary company has proposed some dividends appearing under current liabilities then the dividends are payable to the holding c

What is the present value of $500 per year for ten years at 12 percent, assuming a regular, or ordinary annuity?

An introduction to the company, which focuses on the context in which the company operates: • Ownership, development and location; • Resources, processes and employment; •

Verizon Corporation has 55% equity and 45% debt (market values) in its capital structure. The pretax cost of debt is 7%, and that of equity 12%. The total value of the company is $

the following information relates to Thomas limited who decide to commence business on 01 January 2016 with R375000 cash: what is his budget for February, march, April?

Real estate depreciated under MACRS rules is subject to cost recovery using a mid-year convention. Mike converted his personal residence (acquired in 2001) to rental property th

Presentation and hearing The petition is presented to the court and must be served on the debtor at least eight days before the hearing. If the debtor wishes to oppose it he mu

PROPERTY TRANSFERRED BEFORE BANKRUPTCY (a) Voluntary settlements : The trustee can claim all property settled by the bankrupt on other persons within two years preceding the

what is use of accounting ratios?