Preference share capital in subsidiary-group accounts, Financial Accounting

Preference share capital in subsidiary (irredeemable)

Investment in preference shares does not lead to ownership and therefore, if the holding company owns part of the preference share capital in subsidiary company then, the percentage will not be the basis of consolidation.

However, the asset of investment in preference shares and the percentage of preference shares acquired will still be used to compute goodwill arising on consolidation.

The other balance sheet is due to the minority interest and will thus be included as part of total due to minority interest or posted to credit side of minority interest account.

Posted Date: 12/12/2012 2:36:05 AM | Location : United States

Related Discussions:- Preference share capital in subsidiary-group accounts, Assignment Help, Ask Question on Preference share capital in subsidiary-group accounts, Get Answer, Expert's Help, Preference share capital in subsidiary-group accounts Discussions

Write discussion on Preference share capital in subsidiary-group accounts
Your posts are moderated
Related Questions
Given the following cash flows for projects A and B:   Year      Project A   Project B     0       -100,000     -150,000   (Project Cost)     1         25,000

Part A   The contribution margin income statement of Nice Cup Company for 31 December 2011 follows: Nice Cup Company   Contribution Mar

THE TRUSTEE IN BANKRUPTCY 1) Appointment of trustee The trustee is appointed: By the creditors by ordinary resolution, or By the committee of inspection, if so

Failure to record depreciation at year end will result in all of the following except Understatement of total liabilities. Overstatement of total assets. Overstatement of net incom

Types of temporary differences There are two main types of temporary differences; 1) Taxable temporary difference : If the carrying amount is more than the tax base then

liabilities and its types

what is the implication of applying accounting concept wrongly

Q. Conclusion on Overtrading? The majority of the evidence suggests that our company is moving into an overtrading situation, although the evidence is not conclusive. Current p

Consider a hypothetical banking system in which banks produce only demand deposit accounts. The currency deposit ratio (c) is 30% and the customary cash reserve ratio (r) for deman

I need help with my homework