合并报表会计-合并各方间交易.ppt

* Intragroup services S Ltd paid $30,000 to P Ltd for the services of a specialist employee In P Ltd Cash Dr 30,000 Service Revenue Cr 30,000 In S Ltd Service Expense Dr 30,000 Cash Cr 30,000 Consolidation adjustment entry Services Revenue Dr 30,000 Services Expense Cr 30,000 * Intragroup Borrowing RECORDED POSITION Parent Ltd Loan to S Ltd (asset) $1 000 Interest revenue 70 Subsidiary Ltd Loan from P Ltd (liability) $1 000 Interest expense 70 At 1/7/03 P Ltd lends $1 000 to S Ltd. Interest paid at 30/6/04 is $70. * Intragroup Borrowing ECONOMIC ENTITY POSITION No loan asset, no loan liability, no revenue, no expense because no external party was involved CONSOLIDATION WORKSHEET ADJUSTMENTS Dr Loan from P Ltd 1 000 Cr Loan to S Ltd 1000 Dr Interest revenue 70 Cr Interest expense 70 No tax effect * Intragroup dividends from post acquisition profits From a group viewpoint internal dividends are simply transfers of cash from one part of the group to another. “Post-acquisition” dividends are those paid from profits earned after P Ltd’s acquisition of S Ltd. P will never pay dividends to S. Why? Because S cannot legally own shares in its own parent company. * Intragroup dividends from post-acquisition profits DIVIDEND WAS PAID IN CURRENT PERIOD RECORDED POSITION Parent Ltd Subsidiary Ltd Dividend revenue $1 000 Interim div. $1000 ECONOMIC ENTITY POSITION No dividend was paid to or received from an external party Y Ltd paid a $1 000 dividend to X Ltd on 1/1/03. * Intragroup dividends from post-acquisition profits CONSOLIDATION WORKSHEET Dr Dividend revenue 1 000 Cr Interim dividend 1 000 * Intragroup dividends from post-acquisition profits RECORDED POSITION Subsidiary Ltd: Proposed final dividend and dividend payable of $1 500 Parent Ltd: Dividend receivable and dividend revenue of $1 500 ECONOMIC ENTITY POSITION No external party involved – no dividends At