consolidation question

another question if a parent co. estimate that at the date of acquisition the subsidiary co. has a fair value of contingent liability which they havent provided for .......then it will be incorporated in W2 of net asset of subsidiary................and in post-acq if contingent liab. increase.....the amount by which it increase we will charge it to cons. st. of p/l is it so?

@sguha said: if parent co. received dividend from its accociates....in consolidated st. of financial position we will deduct that amount of dividend from investment in asso. under non-current asset right?

Correct.

@sguha said: another question if a parent co. estimate that at the date of acquisition the subsidiary co. has a fair value of contingent liability which they havent provided for .......then it will be incorporated in W2 of net asset of subsidiary................and in post-acq if contingent liab. increase.....the amount by which it increase we will charge it to cons. st. of p/l is it so?

Correct, W2 in the acquisition date column and then adjust it at the amount for the reporting date. Any change goes through profit or loss as a post-acquisition movement, and don't forget to include the reporting date contingent liability of the group SFP.