Consolidation Process Partially-Owned Subsidiaries Summer I 2009

Consolidation Process Partially-Owned Subsidiaries Summer I 2009

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Accounting 401 Consolidation Process for Partially-Owned Subsidiaries Summer I 2009 A. The consolidation process for partially-owned subsidiaries is not much different than what we learned in the previous chapter for wholly-owned subsidiaries. Taking that information and adding what we learned about the noncontrolling interest should be all that we need. B. We will need to add a column to our consolidated financial statements working paper for the noncontrolling interest. In that column we will include the beginning noncontrolling interest balance, the allocation of subsidiary net income to the noncontrolling interest, the allocation of subsidiary dividends to the noncontrolling interest and from that information the ending balance in the noncontrolling interest. C. According to FASB statements on this issue, the noncontrolling balance should appear in the stockholders’ equity section of the consolidated balance sheet as a separate item from the controlling interest equity. D. Illustrative Problem:
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This note was uploaded on 03/08/2012 for the course ACCT 401 taught by Professor Staff during the Summer '08 term at Texas A&M.

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Consolidation Process Partially-Owned Subsidiaries Summer I 2009

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