Question: Ding intra-group transactions is correct? Transactions that only create a balance between the parent and subsidiary need not be eliminated because there is no effect
Ding intra-group transactions is correct?
Transactions that only create a balance between the parent and subsidiary need not be eliminated because there is no effect on group profit/loss.
Only upstream transactions need to be eliminated.
Transactions that result in profits/losses being carried in assets of the parent or subsidiary need to be eliminated.
Intra-group transactions are eliminated since they are not recognized by the Australian Taxation Office.
Step by Step Solution
There are 3 Steps involved in it
The detailed answer for the above question is prov... View full answer
Get step-by-step solutions from verified subject matter experts
