Consolidated Financial Statements

Consolidated financial statements assist people to make informed economic decisions. When investors buy the shares of a parent company, they may buy into a group of companies. 

This group of companies may perform quite differently to the parent company alone. In consolidated financial statements, the assets, liabilities, equity, income, expenses and cash flows of the parent company and its subsidiaries are aggregated and presented as one set of accounts, as if they have become a single company. 

This course will help you understand the main concepts and three basic steps of consolidation. 

Learning Outcomes:

• identify the purpose of consolidation and general requirements
• understand the main concepts of consolidation, such as parent, subsidiary, group, control, non-controlling interest
• explain what type of adjustments need to be recognised in consolidation
• calculate non-controlling interest
• calculate goodwill or gain on bargain purchase
• eliminate intra-group transactions and balances
• perform the basic steps of preparing a consolidated statement of financial position and consolidated statement of total comprehensive income

Qualifications:

You will receive a Certificate of Completion upon successful completion of the course. This course is eligible to claim professional development points from CPA and CA ANZ.