TAILIEUCHUNG - Ebook Financial accounting reporting and analysis - International edition (2nd edition): Part 2

(BQ) Part 2 book "Financial accounting reporting and analysis - International edition" has contents: Accounting for groups at the date of acquisition, preparation of consolidated balance sheets after the date of acquisition, preparation of consolidated income statements, accounting for associated companies,.and other contents. | 25/10/05 17:02 CHAPTER Page 363 15 Accounting for groups at the date of acquisition Introduction This chapter will consider: ● ● ● ● ● ● ● ● ● The definition of a group Consolidated accounts and some reasons for their preparation The definition of control The purchase method The treatment of goodwill The comparison between an acquisition by cash and an exchange of shares Minority interests The treatment of differences between fair value and book value The determination of fair values. The definition of a group Under IAS 27 Consolidated and Separate Financial Statements, a group exists where one enterprise (the parent) controls, either directly or indirectly, another enterprise (the subsidiary). A group consists of a parent and its This book deals only with situations where both the parent and subsidiary enterprises are companies. Consolidated accounts and some reasons for their preparation In most cases a parent company is required by IAS 27 to prepare consolidated financial statements. These show the accounts of a group as though that group was one enterprise. The net assets of the companies in a group will therefore be combined and any intercompany profits and balances eliminated. Why are groups required to prepare consolidated accounts? (i) To prevent the preparation of misleading accounts by such means as inflating the sales through selling to another member of a group. 25/10/05 17:02 Page 364 364 • Consolidated accounts (ii) To provide a more meaningful EPS figure. Consolidated accounts show the full earnings on a parent company’s investment while a parent’s individual accounts only show the dividend received from the subsidiaries. (iii) To provide a better measurement of the performance of a parent company’s directors. In consolidated accounts the total earnings of a group can be compared with its total assets in arriving at a group’s return on capital employed (ROCE). ROCE is regarded as .

• Kế toán - Kiểm toán
• Financial accounting reporting
• Financial accounting
• The date of acquisition
• Consolidated income statements
• Accounting for associated companies
• Cash flow statements
• International financial reporting standards
• Financial reporting
• Financial reporting standards
• Merchandising operations
• Internal control
• Financial statements
• Stockholders’ equity
• Financial statement analysis
• Lecture Financial accounting
• Accounting cycle
• Reporting financial results
• Evaluating liquidity
• Kế toán tài chính
• Fundamentals of financial accounting
• Financial reporting environment
• Issues in financial accounting
• Accounting standards
• Financial Accounting Standards Board
• Financial accounting and reporting
• Accounting principles
• Revenue recognition issues
• Financial accounting information
• Financial reporting & analysis
• Statement of cash flows
• Real estate companies
• Personal financial statements
• Foundation exam financial accounting
• The financial reporting environment
• The accounting theory
• Conceptual framework
• Accounting for governmental
• Not for profit organizations
• Financial reporting for governmental
• Local government financial reporting
• Financial reporting for state
• Local governments
• Balance sheet
• Income statement
• Financial information
• Economics of accounting information
• Computer associates international
• Corporate financial reporting
• Group financial statements
• Sustainability reporting
• Reporting through XBRL
• Government accounting in india
• Reporting international
• Accrual accounting basis
• Accounting for inflation
• Published accounts
• Intermediate accounting
• Lecture Intermediate accounting
• Canadian financial reporting environment
• Characteristics of accounting
• Capital allocation process
• Accounting reporting
• Company accounts
• Intangible assets
• Construction contracts
• Earnings per share
• Financial ratio analysis
• Lecture Accounting principles
• Measurement criteria
• Islamic financial reporting system
• Islamic financial institutions
• Accounting and Auditing Organization
• Islamic accounting reporting
• Reporting financial performance
• Accrual basis of accounting
• Framework of financial reporting
• Lecture Framework of financial reporting
• Regulatory system
• Accounting policies
• Accounting estimates
• Accounting treatment