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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FR Exams › General question related to consolidation
Those subsidary which parent acqiures at mid of the year
Q1) Why retained earnings brought forward of parent and nci in statement of changes in equity doesn’t include subsidary’s brought forward retained earnings?
Because, in a mid-year acquisition situation, the subsidiary at the end of the year wasn’t a subsidiary at the beginning of the year
Therefore, from a group perspective, there are no subsidiary post acquisition retained earnings brought forward
Ok thanks
You’re welcome