Why must intercompany receivables and payables be eliminated when consolidated financial statements are prepared?

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Why must intercompany receivables and payables be eliminated when consolidated financial statements are prepared?
Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial...
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Advanced Financial Accounting

ISBN: 978-0078110924

9th edition

Authors: Richard Baker, Theodore Christensen, David Cottrell

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