Advanced financial accounting PowerPoint presentation. In this presentation we will discuss a situation where we have a consolidation process and in the period of consolidation the parent sells subsidiary shares to a non affiliated entity. In other words, we have a consolidation process we have a parent subsidiary relationship parent owning a controlling interest over 51% of subsidiary. The parent then in that period sells some of the shares that they own in the subsidiary to a party that’s not affiliated in the consolidation, what will be the effect in the consolidation process of that get ready to account with advanced financial accounting?
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Intercompany Transactions
Advanced financial accounting. In this presentation we’re going to discuss intercompany transactions. So typically we have a situation where where we have a parent subsidiary relationship or thinking about a consolidation type of process within it. And then we have those intercompany transactions between the companies that need to be consolidated between parent and subsidiary, get ready to account with advanced financial accounting intercompany transactions, the intercompany transactions we’ll be focusing in on here and working some practice problems in on will include the intercompany receivables and payables need to be eliminated for consolidated financial statements.
Direct & Indirect Control
Advanced financial accounting. In this presentation we’re going to talk about the concepts of direct and indirect control. If you’re ready to account with advanced financial accounting, we want to consider these concepts within the context of financial statements and consolidation. So you’ll recall that when we have consolidated financial statements, the idea is to put two financial statements together when one company has basically control over another company that being defined typically by having more than 51% interest because if you have more than 51%, then you have basically a voting share for you to vote on anything, then of course, you would win the vote at that point in time. So let’s consider then direct control and indirect control direct control when one company has a majority of another company’s stock common stock. So that would be a situation where you got a and b, one company has a majority interest over 51% control is pretty easy to see at that point. When you start to get into indirect control. This can get more complicated things can get more confusing here. So indirect control, one company’s common stock is owned by one or more other companies that are under common control. So this can get a lot more detailed structure in terms of what is going to constitute control. So for example, if we have direct control, then you have just simply a parent subsidiary type of relationship. And, you know, the parent has more than 51% of the subsidiary, interest common stock. So and that could happen if we have to, we could still have a little bit more complexity here, where we have two subsidiaries, right. But they’re both going to be consolidated in this case, because there’s 75% over 51% direct control is parent over as one direct control over as to here because it’s over the 51%. So both of these cases would be direct control.
Consolidation When there is Complex Ownership Structure
Advanced financial accounting PowerPoint presentation. In this presentation we’re going to discuss a consolidation that when there is a complex ownership structure, so more complex ownership structure comparing the direct ownership, which is what we’ve normally been dealing with, with structures such as multi level ownership and reciprocal ownership, get ready to account with advanced financial accounting. Normally, when we think about our consolidation structure, we’re dealing with a direct ownership situation which looks like this direct ownership type of situation, it gets more complex. Of course, if we have more complex type of ownership structures, such as a multiple multi level ownership structure where we have a parent owning a subsidiary, that basically we have an indirect ownership, let’s say in another subsidiaries, that’s going to be more complex for us to deal with or if we have a situation where we have reciprocal ownership, where the parent has ownership a controlling interest in s, but as also has some ownership in p, right. We’ve been dealing with basically P parent company owning portion of S. So if we talk about direct ownership we’re talking about the parent has, as has controlling interest in every subsidiary. So that’s going to be of course, this situation.
Subsidiary Purchases Shares from Parent
Advanced financial accounting PowerPoint presentation. In this presentation we will discuss a consolidation process where we have a subsidiary that purchases shares from the parent. So what’s going to be the effect on the consolidation process? When we have a subsidiary that purchases shares from a parent get ready to account with advanced financial accounting. We are talking about a situation here where this subsidiary is purchasing shares from the parent what’s the effect on the consolidation process? In the past, the parent has often recognized a gain or loss on the difference between the selling price and the change in the carrying amount of its investment. So in the past, it’s often been recorded as a gain or loss on parent companies that difference as a gain or loss on the parent company’s income statement.
Subsidiary Sells Additional Shares to Parent
Advanced financial accounting PowerPoint presentation in this presentation will discuss a consolidation process where we have a parent subsidiary relationship and the subsidiary sells additional shares to the parent. So we have a situation where we have the subsidiary selling additional shares to the parent, what’s going to be the effect on the Consolidated Financial Statements get ready to account with advanced financial accounting. We’re talking about a situation here where the subsidiary is going to sell additional shares to the parent and the price is going to be equal to the book value of the existing shares. In that case, it’s going to increase the parents ownership percent, because the parent now has more stocks and no one else got more stocks. Therefore, their percent ownership is increasing. The increase in the parents investment accounts will equal the increase in the stockholders equity of the subsidiary the book value of the non controlling interest is not changed and the normal consolidation entries will be made based on the parents and new ownership percent. So obviously when we do The consolidation entries, we’re going to be basing them on the new ownership percent, that’s going to be the more simple kind of situation where we have the price equal to the book value. What if there’s a sale of additional shares to the parent at an amount of different than the book value, so we still have shares going from the subsidiary to the parent, but now the amount is different than the book value. This increases the carrying amount of the parents investment by the fair value of the consideration. So in other words, the carrying amount of the parents investment in the subsidiary is going to go up by that what was paid for it that consideration given whether that be cash at the fair value of something other than cash. At consolidation, the amount of a non controlling interest needs to be adjusted to reflect the change in its interest in the subsidiary.
Forms of Business Combinations
This presentation we’re going to talk about forms of business combinations, which is basically external expansion, two types of entities that are going to be related in some way, shape or form, get ready to act because it’s time to account with advanced financial accounting, forms of business combinations. Now remember, we’re talking about expansion. Here, we’re thinking about expansion. We’ve got the two categories, we’ve got the internal expansion and external expansion. We’re considering here, the external expansion, we have an organization that now wants to expand and they’re going to be consolidated in some way or have two separate entities that will be combining. So now we’re talking about two separate legal entities typically separate legal entities that are now going to be combined in some way shape or forms. The forms of business combinations can be the statutory merger, the statutory consolidation, and the stock acquisition. So if you think about, in other words to separate legal entities and say, Alright, well how can these two separate legal entities be combined in some type of way, you can imagine some different Kind of scenarios in which that could take place. So and when you’re imagining those different types of scenarios, you’re going to be thinking about, okay, well, what’s going to be the key factor here, it’s going to be the controlling interest. So what’s going to be a situation where you had two separate legal entities, and now they’re they’re going to be have some controlling relationship, which could be that they’re combined together under one entity at some point or they are having a parent subsidiary type of relationship, in which case the control would be over the 50%. So that control concept is what you want to keep in mind here.
Allocate Expenses to Classes
This presentation we’re going to take a closer look at external business expansion, which includes things like mergers and business combinations, get ready to act, because it’s time to account with advanced financial accounting. Before we move into the external expansion, you want to give a review and keep your mind on what our focus is we’re talking about a business that is expanding. When we think of it about expansion, we can break that expansion into internal and external expansion. So we have a business expanding into new areas do segments, we can think of it as an internal or external expansion. In a prior presentation, we talked a little bit more on the internal expansion, in which case you might have a situation where a parent creates a subsidiary or a parent basically just creates another division possibly, and expands in that format. Now we’re going to be going to the external expansion, in which case we’re talking about two entities. So we have two separate legal entities that in some or two separate entities in some case in some way, shape reform are coming together. So now we’re going to have an expansion where we have an external expansion. So if we’re thinking of thinking about this, from the from the standpoint of one company, we’re thinking about ourselves as one company and we are expanding, then we’re thinking about the expansion externally, that we are going to be combining in some way shape or form with another company. Now, the format and form in which that combination can take place can be various we can have various forms of that combination, it could result in a parent subsidiary type of relationship, or it could result in the parent basically consuming that another company and bringing them into the overarching parent company.
Accounting Related to Ownership & Control
In this presentation, we will take a look at accounting methods which will relate to and depend on ownership and control, get ready to account with advanced financial accounting. Accounting related to ownership and control methods used to account for investments in common stock will depend on the extent of influence or control, the investor can exercise over the investi. So in other words, we’re gonna have different methods depending on the level of control. Now, if we’re going to use different methods, we need to have some kind of definition we need to have some lines in terms of when we’re going to apply these different methods. What does it mean to have different levels of control? And then how do we apply those in practice so we can have some kind of standardization for that.
Consolidation Process Overview
In this presentation, we will take a look at an overview of the consolidation process, get ready to account with advanced financial accounting, consolidation process overview we’re talking about a situation where we have two or more separate entities that are under a common control. So the basic kind of format of that you’re imagining here, then you have a parent and a subsidiary, these are going to be connected in some way shape or form because the parent has control over the subsidiary, we can imagine more complex situations, for example, having one parent and multiple subsidiaries as well. The entities will be showing as if they are one entity. So if we have a situation like this, if there’s a control type of situation, it’s quite possible then we’re going to have the the subsidiary and the parent These are two separate companies have a consolidated basically a financial statement. So the financial statement the idea of that being we’re going to take these two financials and represent them as if these two separate entities in this case, two or more can be more than two are one entity. This means two or more sets of books are merged into one set of financial statements. So obviously, what does that look like from a practical standpoint, we have the parent company, we have this subsidiary company, they have two sets of books, we’re gonna have to take those two sets of books and put them together for the financial statements. Here is an example of a slightly more complex situation where we still have parent subsidiary relationships but multiple pole subsidiaries in this case, so we have the parent subsidiary one where there’s a 75% ownership. So we’re over we have a controlling interest, we’re over that 51, we’re going to say there’s a controlling interest here, therefore there’s going to be a consolidation. So we’re gonna have a consolidation subsidiary to is owned 52%. So we’re still over the 51.