TSXV:TVC.H - Post by User
Post by
jetfuel10Xon Apr 05, 2022 7:12am
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Post# 34575727
Consolidated financial statements
Consolidated financial statementsWanna bet that I am riight - 1k even 25k. what you want
TVC is not liable to TVM liabilities - Shut up or put your $ where your mouth is - I do
Consolidated financial statements are the "financial statements of a group in which the assets, liabilities, equity, income, expenses and cash flows of the parent company and its subsidiaries are presented as those of a single economic entity", according to International Accounting Standard 27 "Consolidated and separate financial statements", and International Financial Reporting Standard 10 "Consolidated financial statements".[1][2]Consolidated statement of financial position[edit] While preparing a consolidated financial statement, there are two basic procedures that need to be followed: first, cancel out all the items that are accounted as an asset in one company and a liability in another, and then add together all uncancelled items.
There are two main type of items that cancel each other out from the consolidated statement of financial position.
- "Investment in subsidiary companies" which is treated as an asset in the parent company will be cancelled out by "share capital" account in subsidiary's statement. Only the parent company's "share capital" account will be included in the consolidated statement.
- If trading between different companies in one group happen, then the payables of one company will be cancelled by the receivables of another company.
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