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General question related to consolidation

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FR Exams › General question related to consolidation

  • This topic has 3 replies, 2 voices, and was last updated 9 years ago by AvatarMikeLittle.
Viewing 4 posts - 1 through 4 (of 4 total)
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    Posts
  • November 1, 2016 at 6:35 am #346920
    Avatarunaiza
    Participant
    • Topics: 37
    • Replies: 97
    • ☆☆

    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?

    November 1, 2016 at 6:47 am #346921
    AvatarMikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23368
    • ☆☆☆☆☆

    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

    November 1, 2016 at 7:03 am #346925
    Avatarunaiza
    Participant
    • Topics: 37
    • Replies: 97
    • ☆☆

    Ok thanks

    November 1, 2016 at 7:08 am #346929
    AvatarMikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23368
    • ☆☆☆☆☆

    You’re welcome

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