The purpose of consolidated accounts are as follows except:   Show obligations of the group Show obligations of the subsidiary Show the results the group achievs with its resourses Show the economic resources controlled by the group

Q: sophisticated equity method.

A: Subsidiary Account A subsidiary account is a ledger account that is maintained within a subsidiary…

Q: What type of account must the sum of all subsidiary accounts be equal to?

A: Accounts receivable: Accounts receivable refers to the amounts to be received within a short period…

Q: Explain the differences between IFRS and US GAAP in process of business acquisitions and…

A: Accounting standards are the rules and guidelines used by the business to prepare financial…

Q: Identify the various types of split-interest agreements and describe accounting practices for each.

A: Split-interest agreements: Split-interest agreements, often known as planned giving, are…

Q: A consolidated income statement must clearly separate income attributable to the controlling and…

A: Consolidation is the process of combining financial statements of two companies, in which one is…

Q: A parent company is required to prepare consolidated financial statement for the group according to…

A: Consolidation is the process of combining the financial statements of a parent company and its…

Q: The components of other comprehensive income include: a. Changes in revaluation surplus b.…

A: Other comprehensive income - Income / Expenses that does not recognized in the profit and loss…

Q: Define each of the following terms: j. Improper accumulation; S corporation

A: Answer: Improper accumulation is the process of retaining company’s earnings to enable its…

Q: Which of the following statements is true about goodwill? а. Goodwill may be recorded when the fair…

A: SOLUTION GOODWILL IS AN INTANGIBLE ASSET THAT IS ASSOCIATED WITH THE PURCHASE OF ONE COMPANY BY…

Q: What are changes in accounting principle and how do they affect financial statements? What are two…

A: 1)What are changes in accounting Principle and how do they affect financial statements? 2)What are…

Q: balance sheet

A: Balance is a positional financial statement of a company. it shows the financial position of a…

Q: The two methods for the translation of foreign subsidiary financial statements are the current rate…

A: Current rate method Firstly we translate income statement through weighted average exchange rate…

Q: An entity’s functional currency is a. the currency of the primary economic environment in which the…

A: Currency is referred as the medium of exchange for which goods and services are exchanged. It is the…

Q: What are upstream sales? Select one: a. Sales made by a subsidiary to a parent b. Sales made by a…

A: When one company or its subsidiary company , hold more than 50% share in another company , then…

Q: Key issues to consider when auditing a consolidated account

A:

Q: consolidated income statement

A: Consolidated Income Statement -: A revenue or income statement that incorporates the income,…

Q: for the following intercompany transaction  state the principle to be used in accounting for…

A: In this question we have been given the current or the future event of transaction. We have to…

Q: How does the accounting treatment differ for exploration and development costs in extractive…

A: Extractive activities involve the search for and extraction of minerals, oil, gas, and other…

Q: Which of the following is NOT a required disclosure for any entity that holds an interest in a VIE?…

A: The Financial Accounting Standards Board (FASB) has provided guidance for disclosure requirements…

Q: Which of the following statements is true about goodwill? O a. Goodwill may be recorded when it is…

A: Goodwill is recorded when one company acquires another in a business combination and amount of…

Q: Discuss the primary differences between U.S. GAAP and IFRS with respect to accounting for…

A: Definition:   Generally Accepted Accounting Principles: GAAP (Generally Accepted Accounting…

Q: Other comprehensive income includes all of the following, except: unrealized gains on available for…

A: Other comprehensive income includes income that does not need to consider under net income currently…

Q: Explain whether a subsidiary needs to prepare accounts to the same date as the parent company.

A: A parent and a subsidiary company is different from each other and may be following different…

Q: Conceptual Framework and Reporting Standard: Small and Medium Sized Enterprise 1. In SME, borrowing…

A: IFRS for SMEs provide Conceptual Framework for Small and Medium Sized Enterprise

Q: Explain “functional currency” and suggest one indicator that an entity may consider to determine its…

A: Functional currency is the currency that is used by an entity to record its business transactions.…

Q: When share appreciation rights are granted to employees

A: Stock appreciation rights :  It's a type of incentive which is provided by a company to It's…

Q: Multiple choice Question 13 Which one of the following assumptions or principles most logically…

A: Reporting Entirty assumption or principles most logically supports the preparation of a single set…

Q: Definition of the following in Accounting 1. Amortization of Franchise Give an Examples of…

A: Intangible Assets: Intangible asset is one of the component of fixed assets reported in company's…

Consolidation

Consolidation in general examination implies an asset oscillating between well-defined methods of trading status. Consolidation is commonly known as market indecisiveness, which completes when the asset's values move forward or backward the trading structure.