Consolidation
Louise:)
Registered Posts: 29 💫 🐯 💫
im currently doing consolidation.
im not very sure what the figures mean i.e share capital, reserves etc.
could someone give me a easy meaning for them, so that i can understand the workings better, to produce the b/s.
thx
lulu
im not very sure what the figures mean i.e share capital, reserves etc.
could someone give me a easy meaning for them, so that i can understand the workings better, to produce the b/s.
thx
lulu
0
Comments
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Hello,
The share capital figure is simply the division of ordinary shares of the company at par (nominal) value. On the condsolidated b/s this will be 100% of the parent only.
The consolidated reserves (accumulated profits) will be made up of 100% of the parent, plus the pecentage of post acquisiton reserves of the subsidiary. Have a look at a few past papers for technique of consolidation and I am sure you will have no problem with this.0 -
ok thx0
