Question: An annual report for Daimler Chrysler AG now Daimler AG
An annual report for Daimler- Chrysler AG (now Daimler AG) includes the statement that “all significant intercompany transactions and balances relating to these majority-owned subsidiaries and variable interests have been eliminated.” In your own words, explain the meaning of this statement. Why is it necessary to eliminate all intercompany accounts and transactions in consolidation?
Relevant QuestionsExplain the accounting equation for the statement of earnings. Define the three major items reported on the statement of earnings. On January 1, 2014, Company P purchased 100 percent of the outstanding voting shares of Company S in the open market for $ 80,000 cash. On that date, the separate statements of financial position (summarized) of the two ...On June 30, 2014, Forlini Company acquired some of the 50,000 outstanding common shares of Como Corporation. The fiscal years for both companies end on December 31. The following transactions occurred during 2014: Dec. 2 ...During January 2014, Ka- Shing Company purchased shares of the following companies as a non-current investment: Subsequent to acquisition, the following data were available: Required: 1. What accounting method should be ...On September 15, 2014, MultiMedia Corporation purchased 10,000 common shares of Community Broadcasting Company for $ 32 per share. The following information applies to Community Broadcasting’s price per share: Date ...
Post your question