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CONSOLIDATIONS AFTER THE DATE OF ACQUISITION
Consolidation process
• How do we get to consolidated financial statements
position?
• End point = Starting point ± Pro-forma journal entries
• The starting point is:
• 100% of current year complete pre-closing TB of parent
• Added line by line to 100% of current year complete
pre‐closing TB of sub
• Example of result:
• 100% Sales of P + 100% Sales of S
• 100% PPE of P + 100% PPE of S
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