Q plc has three subsidiaries: L Ltd, M Ltd, and N Ltd. All three were acquired on
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Q plc has three subsidiaries: L Ltd, M Ltd, and N Ltd. All three were acquired on 1 January at the start of the financial year which has just ended. Q has a 55%, 70% and 95% holding respectively and holds a majority of the voting equity in L and M. It has changed the composition of both these companies’ boards since they were acquired. However, despite its 95% holding in N Ltd, it has only a 45% holding of the voting equity and has so far failed in all its attempts to have a director appointed to the board. How should these three investee companies be treated in the Q group consolidated financial statements?
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Related Book For
Frank Woods Business Accounting Volume 2
ISBN: 9781292085050
13th Edition
Authors: Frank Wood, Alan Sangster
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