Consolidation of group accounts – mid year

This topic has 1 reply, 2 voices, and was last updated 5 years ago by P2-D2.

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August 31, 2020 at 12:20 pm #582832
flickgreen
Member
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Hi,
Please can somebody tell me if we still add 100% of P and 100% S assets and liabilities together for the full year even if its a mid year acquisition on a consolidated SOFP? Is the only adjustment to be made on the calculation of reserves? thanks
August 31, 2020 at 8:45 pm #582915
P2-D2
Keymaster
- Topics: 4
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Hi,

Yes, that is correct. We have control at the end of the year, regardless on when the acquisition took place and so the assets and liabilities are consolidated in full.

You just need to pro-rate any profits for mid-year acquisitions.

Thanks
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