Consolidated Statements for Holding Company and Subsidiaries (Classic Reprint)

Learn how holding companies and their subsidiaries combine finances to show a clear, accurate picture of value and performance. This guide explains the practical methods used to prepare consolidated statements, including how to handle inter-company eliminations and goodwill.Drawing on real-world examples, the book shows how to determine the true value of investments, adjust for inter-company profits, and structure working papers from the parent company’s viewpoint. It focuses on cost-based investment accounts, minority interests, and the step-by-step adjustments needed to present a coherent consolidated balance sheet and related statements. How to compute and treat goodwill when control is gained through multiple holding companies. Methods for eliminating inter-company stock and profit to reveal true asset values. Handling investments carried at cost and the impact on surplus and minority interests. Practical guidance for preparing consolidated balance sheets, surplus statements, and related notes.Ideal for readers of accounting methods and financial reporting who want practical, tested procedures in consolidation. Read more