Consolidating schedule - png online dating
2013-008.] This section provides guidance on the form and content of reporting when an auditor submits to his client or to others a document that contains information in addition to the client's basic financial statements and the auditor's report thereon.
On the other hand, when the auditor's report is included in a client-prepared document .The following presentations are considered part of the basic financial statements: descriptions of accounting policies, notes to financial statements, and schedules and explanatory material that are identified as being part of the basic financial statements.For purposes of this section, basic financial statements also include an individual basic financial statement, such as a balance sheet or statement of income and financial statements prepared in accordance with a comprehensive basis of accounting other than generally accepted accounting principles.The complete financial statement of one subsidiary is shown separately from another as a stand-alone company.The benefit of combined financial statements is that it allows an investor to analyze the results and gauge the performance of the individual subsidiary companies separately.The information covered by this section is presented outside the basic financial statements and is not considered necessary for presentation of financial position, results of operations, or cash flows in conformity with generally accepted accounting principles.
Such information includes additional details or explanations of items in or related to the basic financial statements, consolidating information, historical summaries of items extracted from the basic financial statements, statistical data, and other material, some of which may be from sources outside the accounting system or outside the entity.
A parent company with a controlling interest in a subsidiary consolidates the financial statements of its subsidiary into its own financial statement.
A combined financial statement shows financial results of different subsidiary companies from that of the parent company.
This avoids misrepresenting transactions that distort actual results of the parent company and subsidiary.
Both combined and consolidated financial statements add the subsidiary companies' income and expenses to the parent company.
This creates a total income and expenses for the entire group of companies, including the parent.