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F7 – CONSOLIDATED ACCOUNTS

Forums › ACCA Forums › ACCA FR Financial Reporting Forums › F7 – CONSOLIDATED ACCOUNTS

  • This topic has 1 reply, 2 voices, and was last updated 10 years ago by MikeLittle.
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  • June 19, 2015 at 9:39 am #258012
    khawarbutt
    Participant
    • Topics: 14
    • Replies: 6
    • ☆

    Hi,

    When consolidated accounts are prepared, parent and subsidiary’s assets and liabilities are added together.Investment in subsidiary in the books of parent is replaced by net assets of subsidiary. I am a bit confused regarding subsidiary’s share capital and retained earnings. why are they not simply added to parent entity’s share capital and retained earnings. Your help would be highly appreciated.

    July 13, 2015 at 10:01 pm #260728
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23368
    • ☆☆☆☆☆

    Have you watched the video recordings? Or have you even read the course notes?

    They’re free! And they explain exactly what you have to do, with worked examples.

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