I want to ask the treatment of dividend received from subsidiary in consolidated income statement which was recently examined...I proposed the following entry...Is it correct?
Dr. Retained Earning 2.8 (70%)
Dr. NCI 1.2 (30%)
Cr. Investment Income 4 Mn
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Dividend Received from Subsidiary
7y ago#1Hi,
The dividend received from the subsidiary is not included within the group accounts. The dividend will have been recorded within the parent's individual accounts, and this is eliminated and replaced with the revenue and costs of S on a line by line basis.
Thanks
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