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well u c when you do your consolidation, which means putting 2 or 3 or however many FSs into one and represent the FSs as one (a whole) then you need to eliminate the Intercompany Profits (PUP, URP whatever u want to call it).
This basically is like one company cannot sell to itself and make profit to itself. That is why you need to eliminate them.
Does it make sense?
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