Financial Accounting for Managers, 2/e, 2nd Edition

10

Consolidated Financial Statements

CHAPTER OBJECTIVES

This chapter will help the readers to:

• Appreciate the rationale behind preparation of consolidated financial statements.
• Understand the basic principles and procedures in preparation of consolidated financial statements.
• Understand the concept of ‘minority interest’ in consolidated financial statements.
• Learn to prepare consolidated financial statements.
• Get familiarity with the accounting and disclosure requirements under AS 21 ‘Consolidated Financial Statements’, AS 23 ‘Accounting for Investments in Associates in Consolidated Financial Statements’ and AS 27 ‘Financial Reporting of Interest in Joint Ventures’.

A company having one or more subsidiaries is required to prepare a consolidated ...