When the investor firm exercises full control over the investee because it owns the majority of shares in the investee, the required accounting treatment is referred to as consolidation. The investor firm (parent company) that controls the investees (subsidiaries) is required by IFRS and U.S. GAAP to prepare consolidated financial statements of the group of companies under common control. This note aims to provide the basics of consolidation accounting that are essential for managerial purposes. As a manager, you will be involved in strategic decisions that will result in the acquisition of other firms. The assessment of the investment opportunity will require an estimate of the new group's consolidated accounts if the acquisition is made. After reading this note, you should be able to perform initial consolidations and understand consolidated accounts. This note uses examples to help explain different issues such as eliminating intercompany transactions and dealing with goodwill and minority interests.

【書誌情報】

ページ数：10ページ

サイズ：A4

商品番号：HBSP-IES537

発行日：2016/5/2

登録日：2016/8/8