Consolidation accounting involves the following.
a. Set off assets and liabilities and recognize a single net investment in each subsidiary.
b. Line-by-line aggregation of the items included in financial statements.
c. Combine the cash balances of the separate entities into one line and aggregate the remaining net assets into one item.
d. Combine all assets and liabilities into one net assets item and combine all profits and losses into one profit or loss item.

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08-08-2024
Business

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Consolidation accounting involves the following.
a. Set off assets and liabilities and recognize a single net investment in each subsidiary.
b. Line-by-line aggregation of the items included in financial statements.
c. Combine the cash balances of the separate entities into one line and aggregate the remaining net assets into one item.
d. Combine all assets and liabilities into one net assets item and combine all profits and losses into one profit or loss item.

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