Microsoft Word Consolidate statement of Financial Position (E)

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1 
The Consolidated Statement of Financial Position 
1.
 
Introduction 
As per SLFRS 10 Consolidated Financial Statements 
are the financial Statement of a group in which the 
assets, liabilities, equity, income, expenses and cash flows of the parent and its subsidiaries are 
presented as those of a single economic entity” which means consolidated financial statements are 
financial statements that bring the holding (parent) company's subsidiaries into its aggregated 
accounting figure. The aim of consolidated financial statement is to show the performance of the group 
as if it were a single economic entity.
The Consolidated Statement of Financial Position shows the resources controlled by the parent (Assets) 
and the claims on the resources by the parent (Equity) and parties external to the group of entities 
(Liabilities). The effects of all the intra group transactions are eliminated, since from the economic 
entity’s perspective assets and liabilities cannot be resulted (e.g. Intra group receivables and payable) 
from the transactions within the group, only from transactions with external parties.
Consolidation schedule 
This schedule is used as a tool to add together Parent's and Subsidiary’s assets, liabilities and equity and 
make any necessary adjustments. It includes: 
• 100% of Parent's assets, liabilities and equity 
• 100% of Subsidiary's assets, liabilities and equity 
Consolidated Statement of Financial Position as at 31 March 20XX 
Parent 
Subsidiary 
Adjustments 
Group 
Non-Current Assets 
Property, Plant and Equipment 
XX 
XX 
(XX)
XX
Investment 
XX 
XX
(XX)
XX
Current Assets 
Inventory 
XX 
XX 
(XX) 
XX 
Trade Receivables 
XX 
XX 
(XX) 
XX 
Cash and Bank 
XX 
XX
XX
XX